The Department of Labor's proposed fiduciary rule will cost the financial services industry and investors $3.9 billion in startup costs, according to a new study published by the Financial Services Institute.

That projection is almost 20 times as much as the DOL estimated in its own cost analysis of the rule.

FSI's analysis, produced in conjunction with Oxford Economics, a consultancy, does not attempt to factor the potential cost to investors if the rule causes them to lose access to advice, or the ongoing costs financial services firms will incur complying with the rule.

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Nick Thornton

Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.