Posts by Jay Jandasek
DoL Proposes Delay On Advice Rule Due to Objections from Fiduciary Industry
The DoL, fresh off releasing “final” ruling on participant advice provisions, is now recommending the delay of this rule for two months until further public commentary is considered.
Read MoreJanuary ’09 Newsletter: Just how bad was 2008 compared to other time periods?
Just how bad was 2008 compared to other time periods?
For a single calendar-year period, you have to go back over sixty years….
Read MoreConflicting Interests – DoL 401(k) Participant Advice Rule May Not See Light of Day 1/29/09
“The controversy exists in that the person delivering the advice must adhere to specific fiduciary criteria, but their affiliated firm, whether that’s a broker-dealer, mutual fund company, insurance company, or bank, does not,” said Griffeth. The new rule “opens the door for conflicts of interest to exist on the part of brokerage firms and mutual fund firms at the sake of participants, whom I fear wouldn’t know what questions they should ask to ferret out conflicted advice.”
“…In essence, he said the broker- dealers, insurance companies, banks, and mutual fund companies could play “puppeteer” with the advisers that are meeting with participants to benefit their own pocketbooks, not the participants.” – Chad Griffeth, BeManaged | Actium
Read MoreNew Disclosure Requirements Proposed for Self-Directed Defined Contribution Plans
The U.S. Department of Labor (DOL) recently issued proposed regulations that would require all participant-directed individual account plans (e.g., 401(k) and profit-sharing plans) to make additional disclosures to participants. The regulations are part of the DOL’s continued emphasis on ensuring plan participants and beneficiaries have all the information they need to make informed decisions regarding the management and investment of their retirement savings. If finalized, the regulations would apply for plan years beginning on or after January 1, 2009.
Read MoreFree Personal Finance Solution – Mint.com
Having been a user of both Quicken and Microsoft Money to manage our family finances and overall financial picture, I was frustrated by the constant need to shell out more money if I wanted the “new and improved” edition.
Read More401k Fee Disclosure: A Bloomberg Primetime Special
Two weeks ago, Bloomberg had a prime time special on 401(k) fees, specifically those hidden in the fine print. It was a powerful show, as it demonstrated how difficult it is for professionals, much less participants, to make sense of the fees being charged to numerous plans. Most of those highlighted were plans provided…
Read MoreAre You a Fiduciary?
What Does Fiduciary Mean? 1. A person legally appointed and authorized to hold assets in trust for another person. The fiduciary manages the assets for the benefit of the other person rather than for his or her own profit. Investopedia explains Fiduciary 1. Children or elderly people typically need a fiduciary. The person who looks…
Read MoreWSJ Headline: Participants Can Sue
Welcome to the new world of 401(k) liability:
Participants can sue for individual losses
Enable liability safe harbors
The door is now open for individual suits, make sure your responsibilities demonstrate a documented decision process
Grand Rapids Firm Earns CEFEX Fiduciary Certification
Actium LLC, provider and creator of BeManaged, earned the company certification as a Fiduciary Advisor (PPA), for its role in providing 401(k) participant advice. Actium LLC is the 13th organization in the world to earn a CEFEX (Centre for Fiduciary Excellence), and the 1st in the nation to be certified as a Fiduciary Adviser (PPA).…
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