Retirement plans come in all shapes and sizes: DC Plans, DB Plans, Non-Qual, 401(k), 403(b), 401(a), 457, SEP IRA, Simple IRA, Roth IRA, Cash Balance, HSA… and any other number letter combinations that you can think of.
Retirement Services & Financial Advisors - Serving Columbus & Beyond
The steep uptick in 401k plan trades in reaction to the wild market swings over the last several weeks could be a precursor of a mass reallocation of participant portfolios to more conservative investments.
We recently came across a large 401k plan with more than 30 funds in its fund lineup! Sadly, I wish I could say this was the exception, but we actually see this in many 401(k) plans when they first come to us from another provider.
Just as most 401k plans are unique in their offerings and operations, so too are the investment committees that should be formed to guide them. However, in confronting the critical issues facing employers in the management of their plans, all employers, and their investment committees should address one key question, if not quarterly, at the very least, annually.
As is customary with the proposal of any new regulatory rule or provision, the Department of Labor has opened the floor to comments regarding its proposed rule change to extend fiduciary responsibilities to all advisors who work with qualified retirement plans.
After a rather tumultuous decade in which the overall performance of 401k plans is best described as anemic, we may be entering a period of redemption that could have 401k plan sponsors and participants smiling again.
If a recent employee retirement survey is an indication, retirement plan sponsors have a tremendous opportunity to significantly improve worker productivity, optimize plan participation while fortifying their liability firewall – all in the name of plan management best practices.
Making good on a promise made by President Obama earlier in the year, the Department of Labor has come out with its highly anticipated proposed rule that would require any broker who advises a retirement plan to act in a fiduciary capacity – that is, to act in the best interest of the client.
Recent multi-multi-million dollar class action settlements by Nationwide, Mass Mutual and Lockheed Martin are only the latest wakeup calls for plan sponsors who are coming under magnified scrutiny by employee groups and advocates.