Approach Plan Governance Proactively
As a plan fiduciary, you have many responsibilities that can expose you to legal liability. Our job? To minimize your exposure to any legal recourse that can be easily prevented with a proactive approach. Under ERISA law, a fiduciary is required to act prudently and in the sole interest of the plan participant, to diversify plan investments, and to act in accordance with the plan documents. At first glance, being a plan fiduciary may seem like a burden, but it’s one we aim to alleviate by serving as fiduciary through Kestra Advisory Services, LLC. In this capacity, we work side by side with plan sponsors to ensure fiduciary obligations are always met by implementing a highly disciplined process based on global fiduciary standards.
Phase One: Developing a Foundation
To kick things off, we’ll work with your Investment Committee to review all processes and procedures currently governing your retirement plan. Services we provide include:
- Identify or establish Investment Committee
- Examine plan design
- Document prudent processes
- Review all existing documents
- Draft Investment Policy Statement (IPS)
- Draft Education Policy Statement
A study of 400 plans found that investment choices offered by 401k plans were inadequate in 62% of the plans studied. What does that mean, exactly? That 62% of the plans studied did not offer effective diversification across broad asset classes.
— 2016 401khelpcenter.com
