401(k) Plans Were Supposed To Be A Benefit
For employees. For companies. Employees could grow their retirement, tax-deferred. Companies providing these plans were seen as generous -- caring for employees and providing a vehicle to help them plan for a secure future.
Somewhere, somehow, the 401(k) plan seems to have lost its way.
Dominated by huge financial services companies, filling fund lineups with high-fee, proprietary funds, the 401(k) benefit became a burden, difficult to understand, and even more difficult to navigate. Those fees, masking everything from record-keeping to broker compensation, complicated matters, making it difficult to see the true costs of managing the plans.
Who shouldered the liability of fund selection and performance monitoring? Not the providers. That fell to executives at companies operating the plan and plan participants were left choosing from a baffling array of investment options, hoping to piece together a successful investment portfolio.
But hope is not a strategy.
Using our innovative approach, the 401(k) may work better again, meeting the needs of both plan sponsor and plan participant.
There are several distinct advantages to our approach to 401(k) plans:
Assistance With Fiduciary Requirements For Plan Sponsors
Focus On Fee Transparency