Fees, Funds and Fiduciaries – Cheaper is Not Always Better

The scrutiny of fees within retirement plans has reached a fever pitch and shows no signs of abating. The endless stream of lawsuits accusing plan fiduciaries and service providers of charging excessive fees, of all types, has fostered a heighted sense of anxiety amongst plan sponsors and advisors. Understanding plan expenses in relation to services provided and paying only reasonable costs is of the utmost … Continue reading Fees, Funds and Fiduciaries – Cheaper is Not Always Better

Retirement Plan, Funds, Forfeiture Dollars

Forfeited Retirement Plan Funds

Forfeiture dollars are to be allocated annually in accordance with your plan document’s direction. Typically forfeitures can be used to pay allowable and reasonable plan expenses and/or to offset employer contributions. If dollars remain they should be allocated back to participants in the year for which they are accrued (again, as directed in the plan document). The issue with not allocating forfeitures for the year … Continue reading Forfeited Retirement Plan Funds

Advisors, Investments, Collective Investment Trusts,

Why Advisors are Taking a New Look at Collective Investment Trusts

As many institutional investment advisors know, Collective Investment Trusts have been in existence since the 1970s. Yet today’s collective funds are becoming increasingly popular as plan sponsors and institutional investment advisors seek more efficient ways to provide plan participants with high quality/low cost investment options. What Has Changed There are two reasons for collective funds growing popularity. First, the industry has eliminated many operational impediments … Continue reading Why Advisors are Taking a New Look at Collective Investment Trusts