Reduce Plan Administration Responsibility And Burden
The Plan Sponsor manages the plan with the Investment Advisor:
- Basic Education
- Fund Screening
The Plan Sponsor manages and the Investment Advisor collaborate in a co-fiduciary role where the Plan Sponsor retains the bulk of the responsibilities and partial fiduciary:
- Fund Screening
- Education & Training
- 3(21) Investment Advice
- Web-based Tools for the Plan Sponsor and Participants
Manage For You
The Plan Sponsor is relieved of fiduciary liability with regards to the investment selection and monitoring. The 3(38) Investment Manager assumes these responsibilities and can also mitigate additional fiduciary liabilities. This includes all items in “Manage Yourself” and “Manage Together”.
LET OUR FIDUCIARY SERVICES WORK FOR YOU.
CHANGING ERISA POLICES MEAN EVEN MORE RESPONSIBILITY FOR PLAN SPONSORS
Plan sponsors have many different responsibilities. One of which is having fiduciary accountability for the selection of retirement plan design and investments. The Employee Retirement Income Security Act of 1974 (ERISA) was created to set minimum standards for pension and health plans as well as providing protection for the participants within those plans. Throughout the years, many amendments have been made to expand the protection and staying up to date with the changing policies and procedures required to appropriately act as a fiduciary is very time consuming. One aspect of ERISA is the designation of two different types of investment fiduciaries, 3(21) and 3(38). These fiduciaries are required to meet the high standards as defined by ERISA through “care, skill, prudence and diligence…”