Sent: Tuesday, July 21, 2015 8:04 PM

To: EBSA, E-ORI - EBSA

Subject: RIN 1210-AB31

Dear Secretary Perez,

It is so sadly ironic that the United States government, with its bare, bone-dry coffers 

and perpetual sea of red ink, the rough residue of premises made but not kept, would 

tell anyone how to manage money.

Social security was funded by us, Mr. Perez, and now it has virtually vanished into thin 

air, funds frittered away, a mere rumor at this point, as pernicious politicians pushing 

pork just couldn't help themselves.

And now the US government wants to get into the IRA business......

First, your agency, the DOL vowed to ram it through, then the SEC, the ones who 

should really be in charge, aware of the magnitude, as millions of investors twist in the 

wind, stated they'd be going much slower; FINRA weighed in, calling it unworkable, 

multiple times, then, in spite of the writing on the wall, the seemingly out-of-itsjurisdiction DOL vainly vows to plow on!

All this alphabet soup is making my head spin!

And FINRA just came out with cautionary words regarding that "robo-advisor" you've 

been touting: They're not for everyone.

Even many of those currently licensed as "fiduciaries" have said, given the 

new potential plus-sized playbook, and monstrous maintenance costs, that they would 

have no choice to exit the retirement business. For those few firms attempting to 

navigate the minefield and stay in, well, trial lawyers are huge political contributors; at 

least one demographic would win in all this. 

All those IRA accounts are currently overseen by back office workers, hardly fat cats, 

and if your proposal goes through, many of them would lose their jobs. Now, Mr. 

Secretary, the word "Labor" is indeed in your job title, and given that, shouldn't you, of 

all people, have a vested interested in seeing more, and not less Americans in the work 

force? 

If your proposal passes, registered representatives will be forced to inform clients they 

can no longer help them attempt to achieve their financial goals due to 

an intrusive DOL, and after all the teeth-gnashing and chord-cutting, this will be a nation 

of orphans, at least investment-wise.

So where will they go?

This is where the picture blurs.
The United States government has set up an IRA for those who may not work for 

corporations, and therefore do not have access for a 401k plan.

On the surface, this would seem like an excellent plan.

But below....

This IRA would be solely invested in US bonds, a clear example why beaurocrats

should probably stay out of the investing business. Investing in bonds at the lowest 

interest rates in history, at yields that probably won't even keep up with inflation, is 

terrible investing advice. And it only gets murkier.....

According to the "myRA" website, it's "safe" and "the account value will never 

decrease in value." How can that be? If one invests in bonds, and interest rates 

rise (as is about to happen), the value of those bonds would go down if they are 

sold prior to maturity. Now, people come into life situations where they have to 

break IRA's and withdraw early, and if they did so in a bond-based investment 

account while rates rise, they would DEFINITELY lose money. And if they indeed 

can cash out early from this marvel without "losses", then logic dictates it will 

be taxpayers making up the difference.

In addition, quantitative easing (a program where the government creates bonds 

AND buys them) is over. Bond buyers allow the government to continue to spend 

unabated, and with any US citizens enrolling in "myRA" now filling the gap, what 

would happen to them if there ever was a default? Wasn't our credit rating already 

downgraded? 

With all this US government talk of a "fiduciary standard", are they themselves holding 

up their end of the bargain?

President Obama, growing increasingly ravenous these days despite having what 

should be first class cooks on staff, initially went after 529 savings plans, which have 

been helping overburdened parents pay for college; rebuffed, he's now going after

IRA's.

The Wall Street term for this is "hostile takeover."

Many Americans are growing wary of Uncle Sam and his increasingly wayward ways, 

and therefore may choose to not even participate in what could be the only retirement 

plan in town for fear of.... an "annexation." If the social security funds are already a 

mirage, could "myRA" provide the next course of sustenance for the insatiable beast?

Given all the lose ends detailed above, would you believe President Obama called us

"snake oil salesmen?"
Mr. Perez: I've seen you on TV a few times, and unlike the long string of recent DOL 

head honchos who've been mostly DOA, you were impressive, but then again, you were 

commenting on the labor market in general, and not this. I know all this wasn't your 

doing; it was foisted upon you by President Obama, he's retiring, and you're on the front 

lines, terribly tasked with somehow making something utterly unworkable...."work." 

We are the last line of defense, proud patriots, actually, and if we get red-taped out and 

government gets in, this looming retirement crisis will become a full-fledged tragedy, 

and in the end the bereft American people will turn back to their country for assistance, 

and the republic, already teetering, will get pushed past the brink; breadlines haven't 

been seen in this country in eight decades, and doesn't history tend to reasonably 

repeat itself?

Anonymous