This kind of restriction is not unheard of. I have a few portfolio manager friends in the Midwest who are not allowed any other investment except that company's funds. So, yes, at least its legal and has precedent.

In my view, EJ has good funds (https://www.edwardjones.com/sites/defau ... 840D-A.pdf) but the problem is they are fees sucking leech. However, if they treat their own employee right (i.e. if they provide better expenses for employees than to outsiders), the restriction of having to choose EJ fund may not be as bad as it may sound.

However, selling everything to move to EJ would incur cap gain perhaps. If that is the case, I would think it would be too much penalty for only a part time admin position.