The Pension Protection Act of 2006 (PPA) has answered the crying demand by employees seeking personal financial advice. This well documented need has essentially gone unanswered until PPA because plan sponsors and advisers had unlimited or unknown fiduciary liability for the advice provided. Past attempts to offer advice through third party computer models have failed to gain traction, arguably because the preference is for personal guidance and not for complex algorithms.

PPA defines and limits the fiduciary liability of both advisers and plan sponsors eliminating previous concerns. Fiduciary Advisers' liability is limited to the advice they offer and the individuals who receive the advice - much like the fiduciary standard that exists in typical wealth management client relationships. Plan sponsors are relieved of fiduciary liability for the advice provided if certain conditions are met.

Every plan sponsor takes advantage of the safety and protection afforded by the PPA while providing a greatly needed employee benefit. Every adviser evaluates becoming a Fiduciary Adviser to increase income and protect existing business.