Although ERISA doesn’t specifically require retirement plan sponsors to create and adhere to a written Investment Policy Statement, having an outlined statement in place can allow sponsors to efficiently run a plan consistent with ERISA requirements while fulfilling their fiduciary duties. An Investment Policy Statement will be unique for each organization based on the characteristics of the plan, but we have compiled a list of considerations for developing a well-crafted document.
A retirement savings plan, such as a 401(k) or 403(b), is a valuable employee retention and recruitment benefit. But sponsoring one takes a great deal of work and employees do not always fully understand the plan’s value or utilize its benefits. Meanwhile, you need to make sure the plan investment options are sound, diverse, and low cost while meeting participant needs. That means developing an investment policy statement and monitoring process that:
Since August 9, lawsuits have been filed against 9 different universities for various ERISA claims. For about ten years, 401k litigation has been going on and now eager lawyers are extending it over to 403b plans. Columbia, Emory, MIT, NYU, Yale, Duke, Johns Hopkins, UPenn, and Vanderbilt now find themselves forced to defend the management of their 403(b) plans in court. Could you be next?
In light of the highly volatile market conditions over the past few years, as well as recently added regulatory disclosure requirements, plan sponsors are facing a growing level of fiduciary responsibility and risk. Many plan sponsors seek out the services of a plan consultant to provide them necessary assistance. Because of today’s circumstances, plan sponsors are looking for far more from their consultants than ever before.