I 

- ASSOCIATED 1@o O YRs INOUSTRIES OF 

MA5SAOIU:SF1TS 

July 23, 2015 

The Honorable Thomas E. Perez 

Secretary of Labor 

Department of Labor 

200 Constitution Ave. NW 

Washington, D.C. 20210 

Dc<:Jr Secretary Perez: 

Leadership Is our business 

Associated Industries of Massachusetts 

One Beacon Street, 16th Floor 

Boston, MA 02108 

www.aimnet.org I -017.262.1180 I fax 617.536.6785 

On behalf of Associated Industries of Massachusetts and our 4,500 members, Lam writing to express concern 

with the Department of Labor's (DOL) recent proposal to change the definition of fiduciary investment advice 

under the Employee Retirement Income Security Act of 1974 (BRISA). AIM believes the changes proposed are 

unnecessary, adding confusion and complexity to this vital area of cmp1oyce benefits and the financial-services 

marketplace. 

The proposed rule greatly expands the types of interactions with customers to be treated as investment advice. 

While the DOL proposes a new type of"principles-based" prohibited transaction exemption that grants rcliefto 

a financial-services provider that agrees to act in the best interest of its customer, this exemption falls short in 

that it does not apply to small businesses with participant-directed plans. Essentially, small plan sponsors 

cannot look either to advisers or record-keepers for assistance in structuring fund offerings. The current 

proposed rule will limit small businesses from receiving the help they need to establish and maintain a 

retirement plan. 

In addition, we are concerned that the rule will ultimately limit individual investors' abflity to seek access to 

affordable financial planning services and resources - even if those services and resources are in the saver's best 

interest. Consequently, we request that, prior to the publication of a final rule, the DOL work ·with 

representatives of the business and financial services communities to produce a workable rule that protects 

savers without preventing businesses from continuing their long-established service models that help our 

citizens to plan and save for retirement. 

We appreciate the challenge of finding balance between protecting consumers from unscrupulous actors and 

making sure they receive the necessary assistance in making important investment choices. The current DOL 

proposal. however, does not strike that balance and would do significant harm Lo individuals saving for 

retirement - particularly lov,:er and middle income individuals who will find that they can no longer afford the 

investment help they have come to rely on. 
,JUL ·-c:'.5-c:'Ul:J lb: '.:>.5 

AIM Letter on fiduciary Rule 

July 23, 2015 

Page 2of2 

We thank you for your consideration of our concerns and look forward to working with you on this very 

important issue. If you have any questions regarding this letter, please contact John R. Regan, Executive Vice 

President for Government Affairs at 617-488-83 I l or at jregan@aimnet.ora. 

Sincerely, 

Richard C Lord 

President & CEO 

cc: U.S. Senator Elizabeth A Warren 

U.S. Senator Edward J. Markey 

U.S. Representative Richard E. Neal 

U.S. Representative James P. McGovern 

U.S. Representative Niki D. Tsongas 

U.S. Representative Joseph P. Kennedy 

U.S. Representative Katherine M. Clark 

U.S. Representative Seth W. Moulton 

U.S. Representatjve Michael E. Capuano 

U.S. Representative Stephen F. Lynch 

U.S. Represent.ative William R. Keating