Understanding fiduciary responsibilities

Save this PDF as:
 WORD  PNG  TXT  JPG

Size: px
Start display at page:

Download "Understanding fiduciary responsibilities"

Transcription

1 INSIGHTS SERIES Perspectives and viewpoints on investing in today s market Understanding fiduciary responsibilities A guide for retirement plan sponsors Offering a retirement savings opportunity in the workplace is good for employees and it can be good for business. Recent studies indicate that many workers today are not saving enough for retirement. According to one study, 45% of working-age households do not own any retirement account assets. 1 But there is much you, as an employer, can do to improve your workers chances for a financially secure retirement. Access to an employer plan has a big impact on how much employees save. Research from the Employee Benefit Research Institute (EBRI) indicates that one of the most significant factors in having enough retirement income is the number of future years that a worker is eligible to participate in a defined contribution plan (e.g., 401(k) plan). 2 By making a plan available, you are taking one of the most important steps toward more positive savings outcomes for your employees. Offering a retirement plan may also be good for business. A retirement plan can help you achieve your business goals. There are many different types of retirement plans and an extensive menu of plan features from which to choose. These options allow you to tailor a plan s features to drive savings behaviors that align with your business objectives for the plan. For example, a plan can be designed to help attract and retain employees, reward long-term employees, or encourage healthy staff turnover by allowing senior employees to retire at a reasonable retirement age. A financial advisor can help you select a plan type and plan features that suit your employee demographics and business objectives. FOR PLAN SPONSOR USE ONLY.

2 Your role as plan sponsor As the adopting employer, you have an important role to play at every stage of the plan s life cycle. In addition to aligning the plan design with your business objectives and the needs of your workforce, as the plan sponsor, you are responsible for: n n Administering the plan in compliance with the rules Safeguarding the retirement savings of your employees Plan administration When it comes to adopting and operating the plan, as plan sponsor, you play a principal role: Providing employee education opportunities Delivering notices and disclosures Selecting and monitoring investment options Selecting and monitoring service providers Managing and administering the plan in compliance with the laws and regulations ERISA fiduciary standard In your role as plan sponsor, you will be making decisions and taking action on behalf of your employees who choose to participate in the plan. ERISA provides a set of standards for you to follow. You must: 1. Act in the best interests of participants 2. Act prudently 3. Diversify investments 4. Follow plan documents 5. Pay only reasonable fees from plan assets Your role as a fiduciary does not end when the plan is established and rolled out to participants. It is an ongoing responsibility and one that you will want to take seriously. In recent years, the Department of Labor (DOL) has intensified its regulatory and enforcement focus on plan fiduciaries in an effort to better protect participants retirement savings. Sponsoring a plan is an important job and a big job with a lot of moving parts but you don t have to do it alone. Your advisor s role Advisors can be a critical ally in supporting your retirement plan needs. Before you even adopt a retirement plan, an advisor, such as a consultant can help you define your long-term, strategic goals for the plan. What do you hope to accomplish? What level of contribution will you make? Who will be allowed to participate in the plan? Once you have defined your plan objectives, a consultant can help you tackle the real-world, practical aspects of setting up and managing a retirement plan in accordance with the ERISA fiduciary standards. Support may include: Assisting you in selecting the initial menu of plan investments and providing ongoing investment information and support Along with your legal advisor, educating you about your fiduciary responsibilities with respect to the plan and plan participants Introducing you to solutions and additional service providers to help you administer the plan Providing employee enrollment support and investment education for participants Some advisors also take on an ERISA fiduciary role when providing investment support. The guide The purpose of this guide is to help you better understand your role as a plan fiduciary and to highlight how an advisor can help drive the success of your plan. The guide consists of two sections. Section 1. Understanding the plan sponsor fiduciary role provides a basic primer on your fiduciary responsibilities as an adopting employer. This section also highlights some common missteps made by plan fiduciaries and highlights some DOL enforcement trends. Section 2. Advisor support to help plan sponsors meet fiduciary responsibilities provides a high-level overview of how a consultant can help you meet your fiduciary responsibilities. This section also provides practical strategies to discuss with a consultant to help manage fiduciary risk and tailor your plan to meet your business needs and objectives. By deciding to adopt a retirement plan with the support of a consultant, you can have a positive impact on your workers abilities to save for retirement. 2

3 1. Understanding the plan sponsor fiduciary role Purpose of the rules The Employee Retirement Income Security Act (ERISA) is a federal law that governs those who manage an employee benefit plan and its assets called fiduciaries. The fiduciary rules under ERISA require that plan fiduciaries act solely in the interest of plan participants and handle plan assets in accordance with certain rules. ERISA requires that retirement plan assets be held for the plan participants benefit and not diverted for use by the plan sponsor or any other party. The ERISA fiduciary rules apply to a broad range of employersponsored plans, including 401(k) plans and other defined contribution plans, defined benefit plans, and 403(b) plans that are subject to ERISA. The DOL is the government agency responsible for enforcing the ERISA fiduciary rules. The DOL has the authority to develop regulations that interpret and guide plan sponsors and retirement professionals in complying with ERISA. It also has the power to enforce the rules. Plan sponsor fiduciary oversight What does all of this mean to employers who adopt a plan? Under ERISA Section 402(a), every plan must have at least one named fiduciary, that is a person or an entity named in the written plan document (or through a process identified in the plan). The plan sponsor typically serves as the named fiduciary with overall responsibility for the plan. For a small business, the business owner or officers of the business may be the named fiduciary. Other businesses appoint a plan committee to fill this role. The plan must also designate an ERISA plan administrator, sometimes referred to as an ERISA Section 3(16) fiduciary because that is the section within ERISA that outlines the plan administrator s role. This fiduciary has discretion over how the plan is operated and may hire service providers to help administer the plan and assist with proper delivery of plan notices and disclosures to participants. A plan sponsor may engage an investment advisor or consultant to help create a menu of investment options for the plan. Many advisors provide this support as a non-fiduciary. Other advisors assume the role of an ERISA Section 3(21) investment advisor or ERISA Section 3(38) investment manager (discussed later in this paper) to serve as a fiduciary to the plan when providing investment support. The role an outside advisor or consultant may play is discussed in more depth in Section 2 Advisor support to help sponsors meet fiduciary responsibilities. The named fiduciary and the ERISA plan administrator may hire service providers, such as recordkeepers and thirdparty administrators (TPAs) to help the plan sponsor meet its fiduciary plan administration responsibilities. Most recordkeepers and TPAs, perform their services as non-fiduciaries. That is, they are hired and perform their services at the direction of the plan sponsor, typically in accordance with a plan service agreement. Arrangements with service providers must be for a reasonable fee and terminable on short notice. Selecting and monitoring these service providers is a fiduciary oversight function. Even though a named fiduciary or ERISA plan administrator engages support, they remain plan fiduciaries, ultimately responsible for the following roles: Selecting and monitoring investment options. As the plan sponsor of a defined contribution plan with elective deferrals, you will typically be responsible for selecting a menu of investments that will be available to employees who choose to participate in the plan. You are also responsible for monitoring and adjusting the investment options, as needed. Selecting and monitoring service providers. Many plan sponsors lack all of the resources to administer a plan on their own or choose not to. Providing employee education and disclosures. You must educate employees about their right to participate in the plan and explain plan features through various notices and disclosures. Plan sponsors may engage an advisor to deliver investment education to participants. Providing ongoing administrative oversight. While thirdparty administrators and recordkeepers are an essential component of most retirement plan arrangements, you still play an important role in monitoring these service providers. Providing accurate employee data and other information to service providers to enable them to do their job is another important task for plan sponsors. You also have a responsibility to file an annual Form 5500, if applicable, and authorize distributions and loans. 3

4 Fiduciary standards of conduct As a fiduciary, a plan sponsor must meet strict standards of conduct in fulfilling their responsibilities to the plan and plan participants. There are five cornerstones at the base of the ERISA fiduciary framework. Acting solely in the interests of participants. An ERISA fiduciary who manages a retirement plan or investments must act solely in the best interests of the plan participants (and their beneficiaries) and avoid conflicts of interest with the exclusive purpose of providing benefits to them and defraying plan expenses. Carrying out duties prudently. Fiduciaries must carry out their duties with the care, skill, prudence, and diligence that a person familiar with the matter at hand would use. This standard is sometimes referred to as the prudent expert rule. If a fiduciary does not have the expertise to handle their responsibilities, they may need to hire professionals who have that expertise. Diversifying investments. Plan assets must be diversified to reduce the risk of large investment losses, unless under the circumstances it is clearly prudent not to. Following the plan document. Interpreting the document and providing administrative direction is a fiduciary function. Fiduciaries must follow the terms of the plan document insofar as they are consistent with ERISA. Paying only reasonable plan expenses. Fiduciaries must ensure that any plan expenses paid from plan assets, including investment-related expenses, are for services that are necessary for the administration of the plan and that the fees are reasonable. Adopting prudent practices and plan governance Prudent process is key Following a prudent decision-making process is vital to complying with the list of ERISA fiduciary duties. Different fiduciaries may make different decisions based on the same set of facts, but if they follow established procedures and document the basis for their decisions, they can demonstrate that they have acted prudently. One effective way to manage fiduciary responsibility is to document plan governance procedures, documentation that outlines the various roles and responsibilities for plan oversight and administration and identifies the steps and timing for fulfilling those responsibilities. For example, some plans adopt an Investment Policy Statement (IPS) to document the plan s investment objectives and the criteria that will be used to evaluate investment options, including the frequency of the reviews. Documenting fiduciary compliance Fiduciaries should keep written records of important plan decisions and the primary factors and information that formed the basis of those decisions. For example, your advisor can help you document the process you followed in hiring service providers and monitoring their performance to demonstrate that you acted prudently. It is a good practice to retain a copy of any reports or other information that you relied on in making plan decisions. Examples of documents to retain in the plan file include information about service providers and a copy of service agreements, invoices and fee disclosures, service provider performance reports, and any participant complaints. Similarly, meetings with a consultant or an advisor and other service providers should also be documented. You should keep meeting minutes for all plan committee meetings and other significant plan decisions approved by a board of directors or other governing authority (such as authorization for plan amendments). To keep all plan information together and easy to find, consider storing a copy of the meeting minutes and all collateral material with your plan document and other plan information. Advisor assistance managing investment risk Managing investment risk is an important focus for plan fiduciaries. You may want to discuss various strategies with your advisor to help you manage your investment responsibilities. Your advisor is a resource to help you identify prudent practices and policies that will help keep you on track in administering your plan for compliance. For example, your advisor can help you adopt an IPS to guide your investment selection and monitoring. While an IPS is not required by ERISA, it is a tool that some plan fiduciaries find helpful in providing both guidelines and timelines for investment oversight. 4

5 Fiduciary liability Under ERISA, fiduciaries may be personally liable for plan losses caused by a breach of their fiduciary duties, whether intentional or not. Participants have the right to initiate lawsuits to enforce their rights under ERISA. The DOL has authority to enforce the fiduciary rules through civil and criminal actions, and may require plan fiduciaries to restore plan losses (including interest), return money or other compensation, and pay the expenses related to correcting a fiduciary breach (e.g., appraisals and calculations). Following are some examples of fiduciary missteps that have been addressed by the DOL and the courts: Excessive fees Unquestionably, one of the DOL s primary initiatives in recent years has centered on plan fees. Paying only fees that are reasonable and necessary from plan assets is an express fiduciary duty under ERISA. The DOL has made fee disclosure practices a key audit and enforcement focus. At the same time, participant claims of fiduciary breach for allowing excessive fees to be paid by the plan have become one of the dominant trends in ERISA litigation. Correcting common fiduciary breaches The Voluntary Fiduciary Correction Program (VFCP) allows fiduciaries to voluntarily correct a variety of common ERISA prohibitions, including: Improper loans Delinquent participant contributions and loan repayments Improper payment of plan expenses Prohibited purchases, sales, or exchanges The correction must generally restore the plan to the condition it would have been in had the failure not occurred, including restoring lost earnings. VFCP is available to anyone who would be liable for fiduciary violations under ERISA, unless the plan is under investigation or the application contains evidence of a potential criminal violation, as determined by the DOL. Delinquent plan contributions Another primary DOL audit focus is ensuring the timely deposit of employee deferrals. You may want to work with your internal payroll group or payroll service to ensure all of your employee deferrals and loan repayments are deposited as soon as administratively feasible. If you identify late deposits, you may be able to self-correct the mistake through the DOL s Voluntary Fiduciary Correction Program (VFCP). Stock drop cases If a plan sponsor elects to offer company stock, they should consult with legal and tax professionals about the rules and fiduciary considerations that apply to this type of investment. A fair amount of litigation has been directed at plan sponsors who offered company stock as a plan investment, and the stock dropped substantially in value. The premise of these lawsuits, referred to as stock drop suits, is that the plan sponsor violated its fiduciary obligations to plan participants by allowing company stock as an investment option when the plan sponsor knew about business factors that could cause the stock value to drop. 5

6 2. Advisor support to help plan sponsors meet fiduciary responsibilities Advisor investment support A financial advisor can provide important guidance and support at every stage of the plan s life cycle. Investment support is at the foundation of most plan sponsor/investment advisor relationships. An investment advisor should have the expertise to assist you in selecting the initial menu of plan investments and provide ongoing investment information and support that will enable you to adjust the investment line-up as needed to satisfy your fiduciary responsibilities. Non-fiduciary advisor Following is a list of some common advisor support services that by themselves will not cause an advisor to become a plan fiduciary: Investment selection support (as distinguished by the broader role of a 3(21) investment advisor) Investment monitoring and reporting Generic (non-personalized) investment education for participants (DOL Interpretive Bulletin 96-1) Educating plan sponsors about their fiduciary responsibilities Plan reporting and analysis of key plan performance metrics Assistance with vendor searches, including outsourced fiduciary investment services Fee benchmarking support Generic enrollment services ERISA 3(21) investment advisor Some plan sponsors seek to obtain assistance with investment selection. Under ERISA, there are two principal types of investment fiduciary. The first is an advisor or other service provider who will share fiduciary responsibility with you (the plan sponsor) as an ERISA 3(21) investment advisor. An advisor who provides investment advice is considered a fiduciary to a plan under Section 3(21) of ERISA if he is paid to provide investment advice to the plan. The DOL has added thorough regulations that to be a 3(21) investment advisor, the advisor must also either (i) have discretionary authority or control to purchase and sell securities or other property for the plan; or (ii) give investment advice on a regular basis that is individualized for the plan and serves as a primary basis for investment decisions. As a fiduciary, such an investment advisor must follow the strict standards of fiduciary conduct mandated by ERISA and must disclose any conflicts of interest, but may leave the ultimate decision regarding which investments to include in the plan line-up to the plan sponsor. The selection of an ERISA 3(21) investment advisor is a fiduciary function and is typically documented in a service agreement between the plan sponsor and the investment provider. The plan sponsor has a fiduciary responsibility to monitor the actions of the investment advisor. ERISA 3(38) investment manager A second option is to hire an ERISA 3(38) investment manager. These individuals or entities assume discretionary control of the plan investments selecting, monitoring, and replacing investments. The plan sponsor has a fiduciary duty to select and monitor the investment manager to ensure that the investment manager continues to be a prudent selection as a service provider to the plan. There are, of course, fees for this level of investment support, and the plan sponsor and the investment manager must agree, in writing, to the appointment as a fiduciary. Only a bank, insurance company, or registered investment advisor can serve as an ERISA 3(38) investment manager. 6

7 ERISA fiduciary advisor services Non-Fiduciary Services ERISA 3(21) Investment Advisor ERISA 3(38) Investment Manager Introducing investment options and monitoring investment performance Delivering generic investment education and providing enrollment services Providing plan reports and analytics Helping plan sponsors understand their fiduciary responsibility Shares fiduciary responsibility for selecting and monitoring plan investments Typically, a non-discretionary fiduciary; ultimate investment decisions made by plan sponsor Often also provides non-fiduciary support services Services subject to the fiduciary standard, and non-fiduciary services are typically identified in a service agreement Investment manager fiduciary role Discretionary control over plan investments Requires a written agreement Must be a bank, insurance company, or RIA Often also provides non-fiduciary support services If you have an interest in securing fiduciary support for handling plan investments, a retirement plan consultant may be a helpful resource to explain the types of support services available through a consultant or through outsourced solutions that your consultant can suggest and the associated fees. Fiduciary support strategies A consultant can help you establish and follow sound procedures to make certain you are monitoring and evaluating the appropriate issues to satisfy your fiduciary responsibilities. Consider discussing these practical strategies with a consultant to help you manage fiduciary risk and tailor your plan to meet your business needs and objectives. Delegating investment responsibility to participants (ERISA 404(c)) A strategy some plan sponsors adopt to manage their fiduciary risk is to delegate some investment responsibility to plan participants. Under ERISA Section 404(c), a sponsor of a defined contribution plan with elective deferrals can shift its fiduciary responsibility for investment performance (but not of the selection of the choices on the investment option menu) to plan participants by allowing participants to choose from the menu of investment options available in the plan. Selecting a QDIA as the default investment If a plan allows participants to select investments, the plan sponsor must select a default investment for participants who do not make an investment selection for their plan contributions. If a plan sponsor chooses an investment that meets the DOL s requirements to be a Qualified Default Investment Alternative (QDIA), the plan sponsor will be relieved of fiduciary liability for the performance of the default investment. Three investment vehicles qualify as a QDIA: Life-cycle or targeted-retirement-date funds Professionally managed accounts Balanced funds To obtain the fiduciary relief associated with having a QDIA investment, plan sponsors must meet certain disclosure requirements with respect to participants, including a written notice to participants describing the circumstances under which a participant s account may be invested in a QDIA, the participant s right to select an alternative investment, a description of the QDIA, and an explanation of where to obtain additional information. Information on the QDIA, such as a prospectus, also must be provided to participants. 7

8 Advisor as portal to other service providers As discussed in Section 1 of the guide, most plan sponsors opt to engage service providers to help them administer their retirement plan and manage the investments. An advisor often provides support for vendor searches to help plan sponsors hire and monitor third-party service providers. For example, a consultant can help you with the due diligence process for assembling the best line-up of service providers, which typically involves looking at a number of providers, comparing the same variables with respect to each candidate, and benchmarking whether the fees are reasonable for the services provided. Following is a list of some of the service providers a consultant may introduce to help you fulfill your plan responsibilities. Participant support services provided by advisors Your employees need information and education to help them make savings and investment decisions. Your advisor is a portal to these important services. Many advisors provide a broad menu of educational support services. While some advisors conduct the education programs themselves, others may introduce you to outsourced educational resources. In addition to educational support, some advisors also provide investment advice services, serving as an ERISA fiduciary to participants. Even if an advisor does not provide participantlevel advice services, they can introduce you to service providers who do offer that service, if that is a need for your plan. Service providers and services Administrator (TPA) Monitor new legislation and regulations Help ensure the plan operates in compliance with the rules Conduct compliance testing Prepare Form 5500 (the plan s annual return) Provide plan design and amendment services Prepare participant notices Calculate contributions, eligibility, and vesting Consult with plan sponsors on corrective actions for plan errors Administer distributions and loans Recordkeeper In some cases, the TPA and recordkeeper will be separate entities, and in other cases, the same entity. Maintain records of participant and plan activity (e.g., investment elections, contributions, distributions and investment gains and losses) Process plan and participant transactions (e.g., distributions and investment transfers) Prepare plan reporting and participant account statements Provide a web site or call center for participants, plan sponsors, and advisors Attorneys and Accountants Provide legal support Provide accounting, tax, or auditing support 8

9 Advisor services Selecting an advisor whose skills and service model align with your retirement plan objectives is one of the most significant decisions you will make as a plan fiduciary. As you consider advisor candidates, you will need to evaluate whether a non-fiduciary support model is the best fit for your plan or whether you would benefit from fiduciary services provided by a plan fiduciary, such as an ERISA 3(21) investment advisor or ERISA 3(38) investment manager. There is no universally recognized best solution. Your due diligence process should compare the benefits associated with each model to determine the most suitable solution for your plan. The following chart lists some of the support functions commonly associated with the different service models. Some of the non fiduciary activity listed may be considered as fiduciary activity under the new DOL proposal. Services Non-Fiduciary ERISA 3(21) Investment Advisor ERISA 3(38) Investment Manager Investment Education Investment Performance Reports Fiduciary Education Vendor Search Assistance Fee Benchmarking Plan Performance Reports and Analytics ERISA Fiduciary Responsibility Investment Advice Investment Selection 9

10 Summary As an employer and plan fiduciary, you play a key role in the success of your retirement plan. In addition to selecting investments and overseeing plan administration, you will want to monitor plan metrics to make sure the plan is meeting your overall business objectives and producing positive retirement savings outcomes for your employees. This can seem like a daunting task when the regulatory landscape is constantly changing and new retirement plan products and tools are frequently introduced to the retirement plan marketplace. An advisor can be a critical ally in supporting your retirement plan and helping you meet your fiduciary responsibilities on multiple levels, including: Assisting you in selecting the initial menu of plan investments and providing ongoing investment information and support Educating you about your fiduciary responsibilities with respect to the plan and plan participants Introducing you to solutions and service providers to help you administer the plan Providing employee enrollment support and investment education for participants It is important to evaluate advisor service models and select an advisor with the skills and support services that align with your goals and objectives for the plan. With the support of an advisor, you can have a positive impact on your workers abilities to save for a financially secure retirement. 1. National Institute on Retirement Security, The Retirement Savings Crisis: Is It Worse Than We Think? June 2013, 2. EBRI Notes, Retirement Income Adequacy for Boomers and Gen Xers: Evidence from the 2012 EBRI Retirement Security Projection Model, May 2012, Vol. 33, No.5, 10

11 Multi-Boutique Investments Long-Term Perspective Thought Leadership For more information Defined Contribution Investment Only (DCIO) , option 1 mainstayinvestments.com/dcio MainStay Investments is a registered service mark and name under which New York Life Investment Management LLC does business. MainStay Investments, an indirect subsidiary of New York Life Insurance Company, New York, NY 10010, provides investment advisory products and services. The MainStay Funds are managed by New York Life Investment Management LLC and distributed through NYLIFE Distributors LLC, 169 Lackawanna Avenue, Parsippany, NJ 07054, a wholly owned subsidiary of New York Life Insurance Company. NYLIFE Distributors LLC is a Member FINRA/SIPC. Neither New York Life nor its agents or affiliates provide tax, legal, investment or accounting advice. Plan sponsors should speak to their own tax, legal, or investment advisor or accounting professional regarding their specific situation. The information contained herein is general in nature and is provided solely for educational and informational purposes. Not FDIC/NCUA Insured Not a Deposit May Lose Value No Bank Guarantee Not Insured by Any Government Agency NYLIM MS MS38tIO-04/15

For Institutional Use Only Not for Use with Retail Investors RETIREMENT FIDUCIARY FOCUS

For Institutional Use Only Not for Use with Retail Investors RETIREMENT FIDUCIARY FOCUS AN ADVISOR S GUIDE TO UNDERSTANDING FIDUCIARY RESPONSIBILITIES IN A 401(k) PLAN For Institutional Use Only Not for Use with Retail Investors RETIREMENT FIDUCIARY FOCUS TABLE OF CONTENTS 1 Introduction

More information

Meeting Your Fiduciary Responsibilities

Meeting Your Fiduciary Responsibilities Meeting Your Fiduciary Responsibilities To view this and other EBSA publications, visit the agency s Web site at: www.dol.gov/ebsa. To order publications, contact us electronically at: www.askebsa.dol.gov.

More information

RETIREMENT PLAN FIDUCIARY GUIDE

RETIREMENT PLAN FIDUCIARY GUIDE RETIREMENT PLAN FIDUCIARY GUIDE CONGRATULATIONS You re sponsoring a valuable retirement plan for your employees, and BB&T is delighted to assist you in that effort. Employees will appreciate this important

More information

Understanding Your Fiduciary Role

Understanding Your Fiduciary Role Understanding Your Fiduciary Role Legal Aspects of Fiduciary Duties Under ERISA for Tax-Exempt Plan Sponsors Mark A. Daniele, Esq. McCarter & English, LLP January 26, 2012 I. ERISA ERISA imposes various

More information

Meeting Your Fiduciary Responsibilities

Meeting Your Fiduciary Responsibilities The following information comes directly from a brochure prepared by The Department of Labor to help plan sponsors understand their fiduciary responsibilities. We are making this brochure available through

More information

Models of Advisor Fiduciary Responsibility: What Advisors Need to Know

Models of Advisor Fiduciary Responsibility: What Advisors Need to Know Models of Advisor Fiduciary Responsibility: What Advisors Need to Know Ashish Shrestha Regional Director This information is provided for registered investment advisors and institutional investors and

More information

The Basics of Fiduciary Responsibility under ERISA

The Basics of Fiduciary Responsibility under ERISA The Basics of Fiduciary Responsibility under ERISA Prepared by Elizabeth A. LaCombe, Esq. I Who Is A Fiduciary Under the Employee Retirement Income Security Act of 1974 (ERISA)? Any person or entity who:

More information

Using ERISA Accounts to Help Manage Fee-Related Fiduciary Responsibilities

Using ERISA Accounts to Help Manage Fee-Related Fiduciary Responsibilities Defined Contribution Plans Fiduciary Focus Series Using ERISA Accounts to Help Manage Fee-Related Fiduciary Responsibilities Contents 1 Employer Fee Responsibilities 2 Revenue Sharing 3 DOL s View of ERISA

More information

Best practices for confident plan compliance

Best practices for confident plan compliance Best practices for confident plan compliance Ongoing efforts to expand retirement plan participation, promote transparency and enhance benefit security have increased responsibilities for plan sponsors.

More information

RETIREMENT INSIGHTS. Understanding your fiduciary role. A plan sponsor fiduciary guide

RETIREMENT INSIGHTS. Understanding your fiduciary role. A plan sponsor fiduciary guide RETIREMENT INSIGHTS Understanding your fiduciary role A plan sponsor fiduciary guide ABOUT Perhaps no one topic in the employee benefits arena has drawn more attention and scrutiny over the last several

More information

New Regulations Under ERISA Refine and Develop Fiduciary Duties Regarding the Investment of Plan Assets

New Regulations Under ERISA Refine and Develop Fiduciary Duties Regarding the Investment of Plan Assets New Regulations Under ERISA Refine and Develop Fiduciary Duties Regarding the Investment of Plan Assets Maine Employee Benefits Council December 4, 2008 Eric D. Altholz Verrill Dana, LLP Background There

More information

Topics Covered. Two Ways To Be A Fiduciary 5/6/2015

Topics Covered. Two Ways To Be A Fiduciary 5/6/2015 ERISA Fiduciary Duty For Human Resources Professionals: Managing Risk and Implementing Cynthia A. Moore Jordan Schreier Dickinson Wright PLLC Topics Covered Who is a Fiduciary? What are Fiduciary Duties?

More information

Legal Obligations of Employers for 401(k) Plans

Legal Obligations of Employers for 401(k) Plans Legal Obligations of Employers for 401(k) Plans 1. Background A. After extensive investigation of 401(k) retirement plans throughout the country, the Department of Labor (DOL) has determined the following:

More information

A Tool to Help You Manage Your Company Retirement Plan

A Tool to Help You Manage Your Company Retirement Plan Plan Sponsor Fiduciary Guide A Tool to Help You Manage Your Company Retirement Plan RBC Wealth Management, a division of RBC Capital Markets, LLC, Member NYSE/FINRA/SIPC. One of the most important duties

More information

FIDUCIARY BEST PRACTICES:

FIDUCIARY BEST PRACTICES: FIDUCIARY BEST PRACTICES: Taking a prudent approach to plan management A White Paper Prepared by Transamerica Retirement Solutions Contents Taking a prudent approach to plan management 2 Appointment of

More information

WHAT IT MEANS TO BE AN INVESTMENT FIDUCIARY

WHAT IT MEANS TO BE AN INVESTMENT FIDUCIARY WHAT IT MEANS TO BE AN INVESTMENT FIDUCIARY Two Buckhead Plaza, Suite 600 3050 Peachtree Road NW Atlanta, GA 30305 2013 A division of Raymond James & Associates, Inc., member New York Stock Exchange/ SIPC

More information

401(k) Plan Administration: Fiduciary Responsibility and The Impact of Changes to Your Plan

401(k) Plan Administration: Fiduciary Responsibility and The Impact of Changes to Your Plan 401(k) Plan Administration: Fiduciary Responsibility and The Impact of Changes to Your Plan Presented by: Kirsten L. Vignec Shareholder Hill Ward Henderson Introduction Our discussion today focuses on

More information

PROFIT SHARING PLANS. for Small Businesses

PROFIT SHARING PLANS. for Small Businesses PROFIT SHARING PLANS for Small Businesses 1 Profit Sharing Plans for Small Businesses is a joint project of the U.S. Department of Labor s Employee Benefits Security Administration (EBSA) and the Internal

More information

Fiduciary toolkit for financial professionals

Fiduciary toolkit for financial professionals Fiduciary toolkit for financial professionals For financial advisor use only. Not for distribution to retail investors. Vanguard is your partner to help guide you and your clients in addressing fiduciary

More information

Mitigating fiduciary liability for defined contribution plan investment decisions

Mitigating fiduciary liability for defined contribution plan investment decisions Mitigating fiduciary liability for defined contribution plan investment decisions Vanguard commentary June 2013 Executive summary. In recent years, several high-profile class-action lawsuits have alleged

More information

Fiduciary Recordkeeping Playbook: A Plan Sponsor s Guide to 401(k) Plans. Plan Administrators, Inc.

Fiduciary Recordkeeping Playbook: A Plan Sponsor s Guide to 401(k) Plans. Plan Administrators, Inc. Fiduciary Recordkeeping Playbook: A Plan Sponsor s Guide to 401(k) Plans Plan Administrators, Inc. Table of Contents Putting Together a 401(k) Game Plan...3 Rules for 401(k) Fiduciaries...4 Your Fiduciary

More information

Paying Employee Benefit Plan Expenses

Paying Employee Benefit Plan Expenses Jennifer E. Eller and Andrée M. St. Martin, Groom Law Group, Chartered This Note describes the types of expenses that may and may not be paid from the assets of an employee benefit plan. It also explains

More information

Fiduciary Guide. Helping to protect your plan. MetLife Resources

Fiduciary Guide. Helping to protect your plan. MetLife Resources Fiduciary Guide Helping to protect your plan. MetLife Resources Table of Contents Introduction..........................................................................1 MetLife s Commitment.................................................................

More information

FIDUCIARY INSIGHTS & UPDATES

FIDUCIARY INSIGHTS & UPDATES FIDUCIARY INSIGHTS & UPDATES Did You Know? Fiduciaries have important responsibilities and are subject to high standards of conduct because they act on behalf of participants in a retirement plan and their

More information

Plan Administrator Guide

Plan Administrator Guide Plan Administrator Guide Your qualified retirement plan combines current employer tax savings with retirement security for participants. Congress specifically provided for this favorable treatment in the

More information

FIDUCIARY INSIGHTS & UPDATES

FIDUCIARY INSIGHTS & UPDATES FIDUCIARY INSIGHTS & UPDATES Did You Know? There are two types of advice services that can be offered in retirement plans: conflicted and nonconflicted. Conflicted advice means that the provider of advice

More information

Value of an Independent ERISA Fiduciary Advisor

Value of an Independent ERISA Fiduciary Advisor What s the ROI of an Independent ERISA Fiduciary Expert? There are at least six key benefits that employers and their employees may receive with their retirement plans after hiring a skilled and experienced

More information

Managing fiduciary responsibility for plan sponsors

Managing fiduciary responsibility for plan sponsors Managing fiduciary responsibility for plan sponsors Invesco PlanForward Foundations SM Putting fiduciary responsibility in action Contents 1 Defining fiduciary responsibility 4 Maximizing fiduciary protection

More information

Not FDIC Insured May Lose Value Not Bank Guaranteed RETIREMENT FIDUCIARY FOCUS

Not FDIC Insured May Lose Value Not Bank Guaranteed RETIREMENT FIDUCIARY FOCUS USING ERISA ACCOUNTS TO HELP MANAGE FEE- RELATED FIDUCIARY RESPONSIBILITIES Not FDIC Insured May Lose Value Not Bank Guaranteed RETIREMENT FIDUCIARY FOCUS TABLE OF CONTENTS 1 Employer Fee Responsibilities

More information

Fiduciary best practices:

Fiduciary best practices: Smart Paper Fiduciary best practices: Taking a prudent approach to plan management Contents Appointment of a fiduciary committee... 2 Additional considerations... 2 Written committee charter... 2 Periodic

More information

Our mission is to help our clients. maintain 401(k) compliance and avoid unnecessary risk. COLLABORATION. COMPLIANCE. CONVENIENCE.

Our mission is to help our clients. maintain 401(k) compliance and avoid unnecessary risk. COLLABORATION. COMPLIANCE. CONVENIENCE. Our mission is to help our clients maintain 401(k) compliance and avoid unnecessary risk. COLLABORATION. COMPLIANCE. CONVENIENCE. More Info: d o n a l.fo rd @ 3 1 6 f i d u ciary.com w w w. 3 1 6 f i d

More information

Understanding Fiduciary Responsibility in 401(k) Plans

Understanding Fiduciary Responsibility in 401(k) Plans RESOURCE EDGE TM Understanding Fiduciary Responsibility in 401(k) Plans A Guide for Financial Professionals INVESTMENT INSIGHTS PRACTICE BUILDING SOLUTIONS RETIREMENT RESOURCES The following information

More information

THE WAGNER LAW GROUP A PROFESSIONAL CORPORATION DEFAULT INVESTMENTS AND INVESTMENT ADVICE UNDER PPA

THE WAGNER LAW GROUP A PROFESSIONAL CORPORATION DEFAULT INVESTMENTS AND INVESTMENT ADVICE UNDER PPA DEFAULT INVESTMENTS AND INVESTMENT ADVICE UNDER PPA I. Default Investments. Fiduciary Relief. Plan sponsors are not responsible for the specific investment decisions made by participants if the plan complies

More information

Fee disclosure Q&A: Answering plan sponsor questions about Department of Labor regulations

Fee disclosure Q&A: Answering plan sponsor questions about Department of Labor regulations Fee disclosure Q&A: Answering plan sponsor questions about Department of Labor regulations Spring 2012 U.S. Department of Labor (DOL) regulations outlining obligations of plan sponsors and service providers

More information

AUTOMATIC ENROLLMENT 401(k) PLANS. for Small Businesses

AUTOMATIC ENROLLMENT 401(k) PLANS. for Small Businesses AUTOMATIC ENROLLMENT 401(k) PLANS for Small Businesses Automatic Enrollment 401(k) Plans for Small Businesses is a joint project of the U.S. Department of Labor s Employee Benefits Security Administration

More information

Company Stock Issues. Potential Litigation Issues and Best Practices when Hiring an Independent Fiduciary

Company Stock Issues. Potential Litigation Issues and Best Practices when Hiring an Independent Fiduciary Company Stock Issues Potential Litigation Issues and Best Practices when Hiring an Independent Fiduciary ERISA Provisions ERISA requires fiduciaries to: Act solely in the interest of plan participants

More information

PLAN MONITOR ERISA PLAN DOCUMENT FILE. Instruction Manual

PLAN MONITOR ERISA PLAN DOCUMENT FILE. Instruction Manual PLAN MONITOR ERISA PLAN DOCUMENT FILE Instruction Manual PLAN MONITOR ERISA PLAN DOCUMENT FILE According to the Employee Retirement Income Security Act (ERISA), employers who sponsor employee benefit plans

More information

Self-directed brokerage accounts

Self-directed brokerage accounts Self-Directed Plan Services Self-directed brokerage accounts One pathway to more personalized investment portfolios Content provided by Integrated Retirement Initiatives, LLC Compliments of TD Ameritrade

More information

Internal Controls Best Practices By Jennifer Downs, CPA Benefit Audit Group, LLC

Internal Controls Best Practices By Jennifer Downs, CPA Benefit Audit Group, LLC Internal Controls Best Practices By Jennifer Downs, CPA Benefit Audit Group, LLC Internal control consists of: Entity level controls these controls relate to the overall control environment and can potentially

More information

National Association of Government Defined Contribution Administrators, Inc. Plan Governance

National Association of Government Defined Contribution Administrators, Inc. Plan Governance Plan Governance 1 TABLE OF CONTENTS OVERVIEW... 1 PLAN Governance... 1 Oversight Options... 2 Fiduciary Responsibility... 3 Plan Documents... 4 Recommended Optional Documents: Bylaws, Policy Manuals, Investment

More information

Fiduciary Risk Management for Plan Sponsors and Advisers

Fiduciary Risk Management for Plan Sponsors and Advisers june 2012 perspectives Fiduciary Risk Management for Plan Sponsors and Advisers The recent recession and market volatility have changed the playing field for investors and for the financial institutions

More information

Retirement Plan Investment Monitoring and Best Practices for Plan Sponsors

Retirement Plan Investment Monitoring and Best Practices for Plan Sponsors Retirement Plan Investment Monitoring and Best Practices for Plan Sponsors Tyrone Golatt Senior Regional Vice President Geoff Finkel Associate Account Executive 1 This material is not intended to give

More information

EACUBO 2011 Pittsburgh Workshop

EACUBO 2011 Pittsburgh Workshop EACUBO 2011 Pittsburgh Workshop ERISA Fiduciary Responsibilities for 403(b) Plans: Keys to Implementation June 17, 2011 Presented by: Ed Wodarczyk, Esq. Rhoades & Wodarczyk, LLC 330 Grant Street; Suite

More information

RETIREMENT PLAN SERVICES

RETIREMENT PLAN SERVICES EMPLOYEE STOCK OWNERSHIP PLANS (ESOPS) WHAT IS AN ESOP An ESOP is a form of profit-sharing plan designed to invest primarily in employer stock. ESOPs often are used as a means of transferring ownership

More information

Would Your Plan Survive a DOL or IRS Audit?

Would Your Plan Survive a DOL or IRS Audit? Would Your Plan Survive a DOL or IRS Audit? CBIA 2016 Compensation & Benefits Conference Presented By: Sharon Freilich, George Kasper & Nancy Lapera June 22, 2016 IRS and DOL Responsibilities Internal

More information

Mitigating Fiduciary Liability for Investment Evaluation & Selection In A Profit Sharing/401(k) Plan

Mitigating Fiduciary Liability for Investment Evaluation & Selection In A Profit Sharing/401(k) Plan Mitigating Fiduciary Liability for Investment Evaluation & Selection In A Profit Sharing/401(k) Plan Fiduciary Insight, LLC 5555 DTC Parkway, Suite D-2004 Greenwood Village, CO 80111 Telephone: 303.xxx.xxxx

More information

3(21) and (38) Fiduciary Outsourcing. Blake Willis, July Business Services Rick Keast, Redhawk Wealth Advisors

3(21) and (38) Fiduciary Outsourcing. Blake Willis, July Business Services Rick Keast, Redhawk Wealth Advisors 3(21) and (38) Fiduciary Outsourcing Blake Willis, July Business Services Rick Keast, Redhawk Wealth Advisors 3(21) and 3(38) Fiduciary Outsourcing Presented by: Rick Keast Senior Vice President Business

More information

FIDUCIARY ADVISERS KNOW THE FACTS

FIDUCIARY ADVISERS KNOW THE FACTS FIDUCIARY ADVISERS KNOW THE FACTS There is a significant amount of confusion and misinformation in the marketplace regarding investment advisers ability to relieve plan sponsors of their fiduciary responsibilities

More information

Safeguarding The Future: A Basic Guide To Retirement Plan Compliance

Safeguarding The Future: A Basic Guide To Retirement Plan Compliance Safeguarding The Future: A Basic Guide To Retirement Plan Compliance Safeguarding the Future: A Basic Guide to Retirement Plan Compliance 1 Safeguarding the Future: A Basic Guide to Retirement Plan Compliance

More information

Exercising Fiduciary Authority and Control Over the Investment Menu in 403(b) Plans Subject to ERISA

Exercising Fiduciary Authority and Control Over the Investment Menu in 403(b) Plans Subject to ERISA Reproduced with permission from Tax Management Compensation Planning Journal, 38 CPJ 299, 11/05/2010. Copyright 2010 by The Bureau of National Affairs, Inc. (800-372-1033) http://www.bna.com Exercising

More information

RETIREMENT PLAN SERVICES

RETIREMENT PLAN SERVICES OVERVIEW Helping your employees prepare for retirement is one of the most valued benefits you can offer. At The PrivateBank, we understand the important role retirement planning plays in your overall benefits

More information

ERISA Fiduciary Responsibilities A Primer for Plan Sponsors

ERISA Fiduciary Responsibilities A Primer for Plan Sponsors ERISA Fiduciary Responsibilities A Primer for Plan Sponsors Abigail B. Pancoast Senior Counsel, Lincoln Financial Group The information contained in this article is intended to provide general information,

More information

A retirement plan guide for small businesses

A retirement plan guide for small businesses A retirement plan guide for small businesses Choosing a plan that benefits you and your employees Benefits of a qualified retirement plan A qualified retirement plan is also a good strategy for reducing

More information

Understanding Plan Fees and Expenses

Understanding Plan Fees and Expenses Understanding Plan Fees and Expenses Susan M. Wright, CPA, APM Executive Director, Consulting Topics of Discussion Fiduciary Responsibilities Settlor vs. Non-settlor Expenses Revenue Holding Accounts Questions

More information

HFTP Annual Convention & Tradeshow Rosen Shingle Creek Orlando, FL October 20, 2012 WHO ME?? A FIDUCIARY?!?!?!? Ned McCrory, CPA George Zoglio, CPA, MBA Batchelor, Frechette, McCrory, Michael & Co. CPA

More information

ERISA Fiduciary Issues:

ERISA Fiduciary Issues: TRUST INTEGRITY FOCUS RESPONSIBILITY ERISA Fiduciary Issues: A PRACTICE GUIDE FOR ADVISORS EXECUTIVE SUMMARY Focus on Fiduciaries New regulatory mandates, a roller coaster economy, dwindling retirement

More information

401(k) Plans For Small Businesses

401(k) Plans For Small Businesses 401(k) Plans For Small Businesses Why 401(k) Plans? 401(k) plans can be a powerful tool in promoting financial security in retirement. They are a valuable option for businesses considering a retirement

More information

Effective Monitoring of Outsourced Plan Recordkeeping and Reporting Functions

Effective Monitoring of Outsourced Plan Recordkeeping and Reporting Functions PLAN ADVISORY Effective Monitoring of Outsourced Plan Recordkeeping and Reporting Functions PLAN ADVISORY Table of Contents Introduction 3 Selecting and Monitoring Third-Party Service Providers 4 Quality

More information

Fiduciary Responsibility and 401(k) Plans

Fiduciary Responsibility and 401(k) Plans Plan Sponsor Basics Webinar 6 of 6 Fiduciary Responsibility and 401(k) Plans Presenters: September 19, 2012 www.morganlewis.com Gregory L. Needles Julie K. Stapel Stuart P. Kasiske Today s Topics Statutory

More information

Custom Target Date Funds

Custom Target Date Funds Custom Target Date Funds Assessing the Best Fit IN BRIEF October 2013 Authored by Fred Reish and Joan Neri Target date funds are a popular plan investment option. The recent DOL guidance says that plan

More information

Investment Platform Options that Can Lead to Better Retirement Outcomes

Investment Platform Options that Can Lead to Better Retirement Outcomes Retirement Services Investment Platform Options that Can Lead to Better Retirement Outcomes For Plan SPonSor USe only not For DiStribUtion to the PUblic. Introduction Investment Platform Options that Can

More information

The Five Pillars of a Retirement Plan

The Five Pillars of a Retirement Plan The Five Pillars of a Retirement Plan An employee retirement plan can help: Recruit and retain valuable employees Bridge the gap between Social Security and retirement income needs, which are estimated

More information

Why Advisors Will Benefit and Add Value Using a 3(38) Investment Fiduciary

Why Advisors Will Benefit and Add Value Using a 3(38) Investment Fiduciary Why Advisors Will Benefit and Add Value Using a 3(38) Investment Fiduciary Defining the roles between a 3(38) Investment Fiduciary and a Plan Advisor offering non fiduciary services. Protecting both the

More information

Fiduciary Fundamentals

Fiduciary Fundamentals Retirement & Benefit Plan Services Fiduciary Fundamentals Basics and Best Practices This guide covers the following chapters: A plan fiduciary serves an important role At Bank of America Merrill Lynch,

More information

The Benefits of Mandatory Distributions

The Benefits of Mandatory Distributions The Benefits of Mandatory Distributions A WHITE PAPER BY FRED REISH AND BRUCE ASHTON C. Frederick Reish (310) 203-4047 Fred.Reish@dbr.com www.drinkerbiddle.com/freish Bruce L. Ashton (310) 203-4048 Bruce.Ashton@dbr.com

More information

Fiduciary Liability. Liability Case Studies & Strategies for 401(k) Plan Fiduciaries. 401(k) FIDUCIARY TOOLKIT. Prepared by The Wagner Law Group

Fiduciary Liability. Liability Case Studies & Strategies for 401(k) Plan Fiduciaries. 401(k) FIDUCIARY TOOLKIT. Prepared by The Wagner Law Group 401(k) FIDUCIARY TOOLKIT Sponsored by ishares Prepared by The Wagner Law Group Fiduciary Liability Liability Case Studies & Strategies for 401(k) Plan Fiduciaries IMPORTANT INFORMATION The Wagner Law Group

More information

Vendor to Plan Fiduciary Investment and Fee/Compensation Disclosure

Vendor to Plan Fiduciary Investment and Fee/Compensation Disclosure ADP RETIREMENT SERVICES Vendor to Plan Fiduciary Investment and Fee/Compensation Disclosure HR. Payroll. Benefits. Vendor to Plan Fiduciary Investment and Fee/Compensation Disclosure New vendor to plan

More information

On Your Team. Toward Your Goal. UNIFI Companies Retirement Plans

On Your Team. Toward Your Goal. UNIFI Companies Retirement Plans FIDUCIARY investment safeguard SM On Your Team. Toward Your Goal. UNIFI Companies Retirement Plans RP 1351 8/08 FIDUCIARY INVESTMENT SAFEGUARd SM Let us help. Fiduciary Investment Safeguard is our warranty

More information

Nationwide Investment Advisors, LLC

Nationwide Investment Advisors, LLC Item 1 Cover Page Nationwide Investment Advisors, LLC 10 West Nationwide Blvd Mail Code: 5-02-301J Columbus, OH 43215 614-435-5922 February 26, 2015 Part 2A of Form ADV This document ( brochure ) provides

More information

401(k) Fees and Fiduciary Responsibility

401(k) Fees and Fiduciary Responsibility T. Rowe Price 401(k) Fees and Fiduciary Responsibility What Plan Sponsors Need to Know Retirement Insights Executive Summary In recent years, market events have made many 401(k) participants more sensitive

More information

65% Effective 68% Effective 79% Effective

65% Effective 68% Effective 79% Effective Plan Health Pro Average Company Average Company 401k Plan Joe Advisor Smith Consulting jadvisor@smithconsulting.com ph 555-555-5555 cell 555-555-5555 Diagnostic Assessment Report Scoring Summary Plan Health

More information

RETIREMENT PLAN COMMITTEE BEST PRACTICES, SIMPLIFIED

RETIREMENT PLAN COMMITTEE BEST PRACTICES, SIMPLIFIED RETIREMENT PLAN COMMITTEE BEST PRACTICES, SIMPLIFIED WHITE PAPER FEBRUARY 2011 Multnomah Group, Inc. INTRODUCTION The Employee Retirement Income Security Act of 1974, as amended ( ERISA ), has defined

More information

Miller Financial Services, LLC Advisory Services Agreement

Miller Financial Services, LLC Advisory Services Agreement Miller Financial Services, LLC Advisory Services Agreement This Agreement (the Agreement ) is made and entered into, by and between, Miller Financial Services, LLC (the Advisor ) and xx (the Client ),

More information

IRS and Department Of Labor Issue Automatic Enrollment and Investment Guidance

IRS and Department Of Labor Issue Automatic Enrollment and Investment Guidance IRS and Department Of Labor Issue Automatic Enrollment and Investment Guidance By Cynthia Marcotte Stamer Recent guidance from the U.S. Department of Labor ( Labor Department ) and Internal Revenue Service

More information

Managing Your Future

Managing Your Future Managing Your Future A Guide to Managing Your Firm s Retirement Plan Alex Hargrave Senior Vice President RBC Dain Rauscher (415) 445-8400 alex.hargrave@rbcdain.com Mike Lucey Managing Partner Gordon &

More information

Investment policy statement sample

Investment policy statement sample Investment policy statement sample FOR PLAN SPONSOR USE ONLY This sample investment policy statement is provided for informational purposes only. It is not intended to provide authoritative guidance or

More information

CLS ADVISOR IQ SERIES A PRIMER ON ERISA FIDUCIARY STANDARDS AND TYPES

CLS ADVISOR IQ SERIES A PRIMER ON ERISA FIDUCIARY STANDARDS AND TYPES CLS ADVISOR IQ SERIES A PRIMER ON ERISA FIDUCIARY STANDARDS AND TYPES Table of Contents Introduction General Fiduciary Standards Under Securities Law ERISA Fiduciary Standards Types of ERISA Fiduciaries

More information

Considerations in the Use of Self-Directed Brokerage Accounts in Participant-Directed 401(k) Plans

Considerations in the Use of Self-Directed Brokerage Accounts in Participant-Directed 401(k) Plans Considerations in the Use of Self-Directed Brokerage Accounts in Participant-Directed 401(k) Plans Chuck Rolph, J.D. Director, Advanced Consulting Group Nationwide Financial Background Today's typical

More information

ADV Part 2A Firm Brochure

ADV Part 2A Firm Brochure ADV Part 2A Firm Brochure Alpha Asset Consulting LLC 191 University Boulevard #334 Denver, Colorado 80206 Phone: 303.321.3837 Fax: 303.484.6887 Email: info@alpha-llc.com Website: www.alpha-llc.com Brochure

More information

Morningstar Fiduciary Services FAQs

Morningstar Fiduciary Services FAQs Morningstar Investment Management Morningstar Fiduciary Services FAQs For Financial Professional and Plan Sponsor Use Only. Not for Public Distribution. Who is Morningstar? Morningstar s mission is to

More information

Understanding Retirement Plan Fees and Expenses

Understanding Retirement Plan Fees and Expenses Understanding Retirement Plan Fees and Expenses To view this and other EBSA publications, visit the agency s Web site at: www.dol.gov/ebsa. To order publications, contact us electronically at: www.askebsa.dol.gov.

More information

ERISA AND THE RESPONSIBILITIES OF A PLAN SPONSOR: THE NEED FOR AN EXPERIENCED INTERMEDIARY

ERISA AND THE RESPONSIBILITIES OF A PLAN SPONSOR: THE NEED FOR AN EXPERIENCED INTERMEDIARY ERISA AND THE RESPONSIBILITIES OF A PLAN SPONSOR: THE NEED FOR AN EXPERIENCED INTERMEDIARY The following addresses the potential benefits of retaining a financial intermediary for retirement plans, specifically

More information

Introduction. Mark E. Bokert

Introduction. Mark E. Bokert Top 10 ERISA Fiduciary Duty Exposures And What To Do About Them Understand your fiduciary duties under ERISA and take steps now to protect yourself from future liability Mark E. Bokert 23 This chapter

More information

Retirement Plans Investment Policy Statement

Retirement Plans Investment Policy Statement Retirement Plans Investment Policy Statement Adopted on August 18, 2015 Effective Date: August 1, 2015 INTRODUCTION Central Michigan sponsors a 403(b) and a 457(b) Retirement Plan (the Plans ) for the

More information

What CTA Is Doing to Help You with Your 403(b) or 457 Plan

What CTA Is Doing to Help You with Your 403(b) or 457 Plan SEPTEMBER 2011 Why You Need to Supplement Your Pension... 1 What CTA Is Doing on Your Behalf... 2 The Nitty-Gritty about 403(b) Plans... 4 Open Vendor Law and 403bCompare.com... 5 The District s Third

More information

Retirement Plan Fiduciary Best Practices

Retirement Plan Fiduciary Best Practices Retirement Plan Fiduciary Best Practices 13333 SW 68 th Parkway #230 Portland, OR 97223 (503) 597-1616 Heintzberger Payne Advisors 12511 SW 68 th Avenue, Portland, OR 97223 Fiduciary Headlines 2 2 Update

More information

ERISA Retirement Plans: Fiduciary Compliance and Risk Management for Investment Fund Selection and Fee Disclosures

ERISA Retirement Plans: Fiduciary Compliance and Risk Management for Investment Fund Selection and Fee Disclosures Presenting a live 90-minute webinar with interactive Q&A ERISA Retirement Plans: Fiduciary Compliance and Risk Management for Investment Fund Selection and Fee Disclosures Discharging Fiduciary Duties

More information

A WHITE PAPER: C. Frederick Reish & Nicholas J. White

A WHITE PAPER: C. Frederick Reish & Nicholas J. White Selecting Plan Investments, Services and Providers: Satisfying ERISA s Fiduciary Requirements Using Fiduciary Benchmarks, Inc. Reports A WHITE PAPER: By C. Frederick Reish & Nicholas J. White Reish Luftman

More information

2013 Preparing for Your First 401(k) Plan Audit

2013 Preparing for Your First 401(k) Plan Audit Certified Public Accountants Business Consultants Acumen. Agility. Answers. 2013 Preparing for Your First 401(k) Plan Audit Introduction Your company is growing, and so is your 401(k) plan. But when a

More information

REPRESENTATIVE TOPIC TYPES OF RETIREMENT SAVINGS ARRANGEMENTS RETIREMENT PLAN REGULATORY & INDUSTRY UPDATES. Audience

REPRESENTATIVE TOPIC TYPES OF RETIREMENT SAVINGS ARRANGEMENTS RETIREMENT PLAN REGULATORY & INDUSTRY UPDATES. Audience The following list of topics represents the range and depth of subject matter that may be addressed in Integrated Retirement training and content. Training and content can be delivered in a variety of

More information

Fiduciary Responsibility

Fiduciary Responsibility FIDUCIARY RESPONSIBILITY OF RETIREMENT BOARD MEMBERS AND STAFF Barbara Phillips, General Counsel Derek Moitoso, Associate General Counsel PERAC 2010 Spring MACRS Conference Fiduciary Responsibility What

More information

Retirement Plan Consulting Proposal

Retirement Plan Consulting Proposal The City of Haines City, FL 620 E. Main St Haines City, FL 33844 Retirement Plan Consulting Proposal Presented: August 2014 Gregg Fine, PRP, AIF Area Vice President Gallagher Benefit Services, Inc. 8333

More information

CREATING AN EDUCATION POLICY STATEMENT

CREATING AN EDUCATION POLICY STATEMENT CREATING AN EDUCATION POLICY STATEMENT A Commitment to Improving Employee Financial Literacy A White Paper Prepared by Transamerica Retirement Services Executive Summary An education policy statement (EPS)

More information

Plan Sponsor s Guide to. Retirement Plan Fees. R e t i r e m e n t p l a n s

Plan Sponsor s Guide to. Retirement Plan Fees. R e t i r e m e n t p l a n s Plan Sponsor s Guide to Retirement Plan Fees R e t i r e m e n t p l a n s 2007 StanCorp Equities, Inc. StanCorp Equities, Inc., member NASD/SIPC, distributes group variable annuity and group annuity contracts

More information

AN ACT relating to small business deferred compensation. Be it enacted by the General Assembly of the Commonwealth of Kentucky:

AN ACT relating to small business deferred compensation. Be it enacted by the General Assembly of the Commonwealth of Kentucky: AN ACT relating to small business deferred compensation. Be it enacted by the General Assembly of the Commonwealth of Kentucky: SECTION 1. As used in Sections 1 to 18 of this Act: (1) "Board" means the

More information

A Guide to Understanding Fiduciary Responsibility in 401(k) Plans

A Guide to Understanding Fiduciary Responsibility in 401(k) Plans From Our Resource Edge Series A Guide to Understanding Fiduciary Responsibility in 401(k) Plans The following information is intended to be a general educational guide on the subject of fiduciary responsibility

More information

Melissa M. Wolf, CPA (570) 820.0186 Melissa.Wolf@ParenteBeard.com. Employee Benefit Plan Auditing and Regulatory Update 2012

Melissa M. Wolf, CPA (570) 820.0186 Melissa.Wolf@ParenteBeard.com. Employee Benefit Plan Auditing and Regulatory Update 2012 Melissa M. Wolf, CPA (570) 820.0186 Melissa.Wolf@ParenteBeard.com Employee Benefit Plan Auditing and Regulatory Update 2012 Agenda ASU 2010-06 SOC1 (Formerly SAS 70), SOC2 and SOC3 Department of Labor

More information

Determining reasonableness of retirement plan fees

Determining reasonableness of retirement plan fees Determining reasonableness of retirement plan fees Vanguard commentary September 2011 Fees paid for retirement plan investments and services have always been an important consideration for ERISA fiduciaries.

More information

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

UNITED STATES DISTRICT COURT NORTHERN DISTRICT OF CALIFORNIA ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) Case :-cv-0 Document Filed 0/0/ Page of 0 0 JANET M. HEROLD Regional Solicitor IAN H. ELIASOPH (CSBN Counsel for ERISA GRACE A. KIM, Trial Attorney (CSBN Office of the Solicitor United States Department

More information

FIDUCIARY RESPONSIBILITY OF RETIREMENT BOARD MEMBERS AND STAFF. Derek Moitoso Compliance Counsel PERAC September 2015

FIDUCIARY RESPONSIBILITY OF RETIREMENT BOARD MEMBERS AND STAFF. Derek Moitoso Compliance Counsel PERAC September 2015 FIDUCIARY RESPONSIBILITY OF RETIREMENT BOARD MEMBERS AND STAFF Derek Moitoso Compliance Counsel PERAC September 2015 2 840 CMR 1.01 A board member shall discharge all of his/her duties solely in the interest

More information