Trump pulls back on delay for investor protection rule, raising new questions about regulation

The final text of a presidential memo, originally drafted last week to delay implementation of the Labor Department’s Fiduciary Rule for 180 days, included no such directive. The substantial change caught both industry and advocacy groups alike off guard, and now is sowing confusion over the fate of a regulation that some estimate will cost the financial services industry as much as $20 billion.

A draft of the memo, which was obtained by CNBC, had instructed the Labor Department to push back the effective date by 180 days and conduct a review of the rule's costs and benefits. A senior White House official briefing reporters less than 24 hours before the memo was finalized Friday said the administration intended to "defer the implementation." As late as Friday morning, opponents of the rule were cheering the expected delay.

"This delay will allow the administration to potentially repeal the rule entirely," Rep. Ann Wagner, R-Mo., said in a statement, later standing next to President Donald Trump in the Oval Office as he signed the memo.

However, final text of the memo released hours after the ceremonial signing on Friday afternoon included no such directive. The delay had been considered a major victory for financial advisers who have argued that the rule unfairly exposes them to litigation and limits investors' choices in saving for retirement. Pushing back the start date also would have given the Labor Department time to determine how the regulation should be changed.

Now, the rule will still go into effect April 10 even as its ultimate fate remains in limbo. The White House did not respond to requests for comment.