On behalf of the Food Marketing Institute (FMI)2 and our member companies that operate Employee Stock Ownership Plans (ESOPs), I am writing to express concern with the Department of Labor’s proposed rule to change the definition of the term “fiduciary”. Under the proposal, the annual valuation required of ESOPs will now be defined as investment advice, forcing the independent advisors that provide this assessment to be considered a fiduciary of the plan. This action represents a sharp break with the long-term existing policy that could have a dramatic impact on the establishment and maintenance of ESOPs and should not be made hastily.
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