Amendment to Prohibited Transaction Exemption 2020-02

Document Headings Document headings vary by document type but may contain the following: the agency or agencies that issued and signed a document the number of the CFR title and the number of each part the document amends, proposes to amend, or is directly related to the agency docket number / agency internal file number the RIN which identifies each regulatory action listed in the Unified Agenda of Federal Regulatory and Deregulatory Actions See the Document Drafting Handbook for more details. Department of Labor Employee Benefits Security Administration 29 CFR Part 2550 [Application No. D-12057] ZRIN 1210-ZA32 AGENCY: Employee Benefits Security Administration, U.S. Department of Labor. ACTION: Amendment to Class Exemption PTE 2020-02. SUMMARY: This document contains a notice of amendment to class prohibited transaction exemption (PTE) 2020-02, which provides relief for investment advice fiduciaries to receive certain compensation that otherwise would be prohibited. The amendment affects participants and beneficiaries of employee benefit plans, individual retirement account (IRA) owners, and fiduciaries with respect to such plans and IRAs. DATES: The amendment is effective September 23, 2024. FOR FURTHER INFORMATION CONTACT: Susan Wilker, telephone (202) 693-8540, Office of Exemption Determinations, Employee Benefits Security Administration, U.S. Department of Labor (this is not a toll-free number). SUPPLEMENTARY INFORMATION: Background The Employee Retirement Income Security Act of 1974 (ERISA) provides, in relevant part, that a person is a fiduciary with respect to a plan to the extent they render investment advice for a fee or other compensation, direct or indirect, with respect to any moneys or other property of such plan, or have any authority or responsibility to do so. [ 1 ] Title I of ERISA (referred to herein as Title I) imposes duties and restrictions on persons who are “fiduciaries” with respect to employee benefit plans. ERISA section 404 pr…