Fiduciary Liability Alert for Employers – What Can You Do to Reduce Fiduciary Liability?
What can you do to reduce your fiduciary liability?
Hiring a third-party fiduciary is quite possibly the best move you can make.
When you hire a Registered Investment Advisor to help you select and monitor the plan’s investment options, you go a long way toward lifting the burden of fiduciary responsibility from your shoulders.
Many business owners worry about the “wrong” investments migrating into an employer-sponsored retirement plan. An RIA can watch out for this and also provide documentation for the plan’s investment processes, so that you have a record of them being carried out consistently.
Are you following the new Department of Labor regulations for fiduciaries?
Fiduciaries must now provide a detailed breakdown of plan fees and expenses paid from participant accounts, and abide by updated rules concerning the dissemination of investment instructions to participants.
If participant-level fee disclosures aren’t provided to plan participants, then a plan participant or beneficiary may claim a violation of fiduciary duty on the part of the plan sponsor.
The bottom line? Now more than ever, retirement plan sponsors need to retain the services of a Registered Investment Advisor. Our firm is experienced, ready to assist you, and focused on the relationship. Call Plan Partners today.