Poll Results: 401k Investment Education and Advice - Summary: Eighty-seven percent of organizations that offer 401k plans make investment education available to their plan participants. The top three formats for investment education are brochures, computer modeling or call centers through with employees can have their questions answered. In addition, 51% of organizations provide or make available some form of investment advice to plan participants. Located at: Society for Human Resource Management, September 2010.

Fee Disclosure Regulation: DOL Provides Leverage for Plan Sponsors - Summary: The Regulation thus shifts the balance of power between the plan fiduciary who is charged with understanding fees that its plans will pay and the service providers that generate those fees. Although a plan fiduciary retains responsibility if it uses plan assets to pay unreasonable fees, the Regulation enhances the fiduciary's ability to obtain the information it needs to determine reasonableness. Located at: Jones Day, September 2010.

401k Participant at Fault in Account Withdrawal Dispute - Summary: A federal judge in Oklahoma has cleared a 401k plan administrator of wrongdoing in a dispute over whether the employer should be forced to repay the participant for funds his ex-wife took out of his account. Located at: Planadviser.com, September 2010.

New Retirement Plan Fee Disclosures – Getting Ahead of the 2011 Deadline - Summary: The disclosure and reporting requirements imposed by the fee disclosure regulations place significant new burdens on service providers to disclose the fees they expect to receive from retirement plans. In addition, plan sponsors must confirm that proper disclosures are made. Accordingly, both retirement plan sponsors and retirement plan service providers need to be prepared to identify, track and properly disclose compensation paid for services provided to retirement plans. Located at: Thompson Hine LLP, September 2010.

An Analysis of Investment Committee Hire/Fire Decisions - Summary: Hiring investment managers is harder than firing them, according to Vanguard's second annual survey of investment committee members. At the same time, committees that find manager evaluation more difficult also have a significantly lower rate of manager turnover which, in turn, can reduce investment management costs. This paper explores several important factors and behaviors that can affect manager hiring decisions. Located at: Vanguard , September 2010.

SEC Proposes Revisions to Mutual Fund 12b-1 Fees and Disclosure - Summary: The Proposal has widespread implications not only for mutual funds and their boards of directors and investment advisers, but also for broker-dealers and other financial intermediaries that sell fund shares or service fund shareholder accounts. Located at: Morgan, Lewis & Bockius LLP , September 2010.

VIDEO: America's Retirement Problem: Should We Ditch 401k Plans? - Summary: Over the past decades, defined-benefit plans have been replaced, for the most part, by defined-contribution plans like 401k plans. But the majority of Americans with access to 401k plans are not saving the maximum amount they can, and in many cases are not saving at all. Should the government play a greater - or different - role in getting Americans to save more for their retirement? Located at: Ideas in Action TV, September 2010.

NAIRPA Issues Comments to SEC on Target-Date Funds - Summary: The National Association of Independent Retirement Plan Advisors (NAIRPA) issued these comments on how to improve disclosure for plan fiduciaries and participants who choose target-date funds as designated investment options in their qualified plans. Located at: ASPPA , September 2010.

The Fiduciary Reference - Summary: The Committee for the Fiduciary Standard has created "The Fiduciary Reference: Selected Articles on Fiduciary Duties Applicable to Personalized Investment Advice" to aid the SEC as it studies whether to extend the fiduciary standard to brokers who provide advice to investors. "The Fiduciary Reference" includes the work of the leading academics, researchers and practitioners, regarding fiduciary duty as it applies to investors. Located at: Committee for the Fiduciary Standard , September 2010.

Service Provider Fee Disclosure Regulations: Service Provider Categories - Summary: Covered service providers fall into three categories: (1) fiduciaries or registered investment advisers; (2) certain recordkeepers and brokerage service providers; and (3) certain recipients of indirect compensation. This article provides details regarding these covered service provider categories. Located at: SunGard/Relius, September 2010.

Older Workers' Confidence in Retirement Security Rebounds - Summary: Older workers' confidence in their ability to retire comfortably has rebounded modestly in the past year, although confidence levels remain well below those prior to the financial crisis. Additionally, while concerns among older workers with defined benefit (DB) plans have eased, younger workers are growing increasingly worried over their DB benefits, according to a new survey conducted by global professional services company Towers Watson. Located at: 401khelpcenter.com, September 2010.

The New Frontier in the Small- to Micro-Plan Market - Summary: U.S. Bureau of Labor Statistics indicates that 52% of U.S. employees working for private-sector small businesses with fewer than 100 employees had no access to an employer-sponsored retirement savings plan. This market, say experts, provides a great opportunity to boost the bottom line for those advisers willing to venture there. Located at: Planadviser.com, September 2010.

Avoid the Added Cost of Top-Heavy Retirement Plans - Summary: The economy has had an impact on compensation for employees in many industries; and subsequently, benefit plan sponsors must be aware of the potential impact on their 401k plans. This article reviews the top-heavy rules and some steps employers may be able to take to avoid having their plans become top-heavy. Located at: KraftCPAs PLLC, September 2010.

Trends in Workplace Retirement Education - Summary: Plan sponsors want to make sure they are ahead of the curve with their retirement education programs rather than responding too late to major industry changes. To do so, they need to know the key trends in workplace retirement education and financial education. Located at: 401khelpcenter.com, September 2010.

2010 Independent Advisor Outlook Study - Summary: The Summer 2010 Independent Advisor Outlook Survey was completed by more than 1,200 advisors employed by independent investment advisor firms. Nearly 60 percent of advisors surveyed say a double-dip recession in the U.S. is unlikely over the next six months, and more than 60 percent expect the S&P to increase during the same time period. Located at: Charles Schwab , August 2010.

MassMutual Data Show Participants Exhibiting Stable Behavior - Summary: MassMutual's Retirement Services Division has released data for the quarter ended June 30, 2010 indicating that participants in retirement plans administered by MassMutual showed no signs of panic despite the decline in the S&P 500 Index, with 96% of participants either maintaining or increasing their savings rates. Located at: 401khelpcenter.com, August 2010.

Survey Finds Relative Calm Amidst Boomers Approaching Retirement - Summary: Charles Schwab released the findings of its quarterly retirement pulse survey which reveals that baby boomers approaching retirement in today's rocky economic conditions have maintained a surprisingly stable view about their retirement prospects. Located at: 401khelpcenter.com, August 2010.

Plan Sponsors Not Focused on Same Issues as Advisers and Regulators - Summary: An interview with PlanSponsor's Nevin Adams on what plan sponsors are worried about in the here-and-now. Located at: Fiduciarynews.com, August 2010.

Survey: Small Business Owners Delaying Retirement - Summary: The latest Wells Fargo/Gallup Small Business Index, surveyed in July 2010, shows many business owners are looking at a later retirement with 69 percent of business owners not planning to retire or cut back on work until age 65 or older. This is a 17 percentage point increase in this category from December '07 and a 28 percentage point increase from September '05. Located at: 401khelpcenter.com, August 2010.

The Top Ten Major Misconceptions Plan Sponsors Have About Retirement Plans - Summary: While this list of major misconceptions about retirement plans is just a portion of the wrong advice that plan sponsors rely on, the list represents many misconceptions that have been seen when meetings with employers. Located at: JD Supra, LLC , August 2010.

Prudent Fiduciary Selection and Monitoring of Target-Date Funds - Summary: This paper provides a practical fiduciary approach to analyzing target-date funds by suggesting that plan fiduciaries focus on four specific areas: risk; risk-adjusted returns and expenses; underlying funds; and reliability. It also includes a target-date fund perspective by the IFLC stating their significant concern with this fund. Located at: Investment Fiduciary Leadership Council , August 2010.

ASPPA Issues Comments on DOL Fee Disclosure Regulation - Summary: This is a statement from Brian Graff, executive director/CEO of ASPPA in response to the U.S. Department of Labor's request for comments on the Interim Final Regulation §2550.408b-2(c) which imposes new fee disclosure requirements on retirement plan service providers. Located at: 401khelpcenter.com, August 2010.

Spark Institute Comments on DOL Regs on Disclosure of Fees by Service Providers - Summary: "Although we generally believe that EBSA has done a good job with the Rule, this comment letter summarizes our new or remaining issues and concerns regarding the Rule, and provides responses to some of the questions raised by EBSA for industry feedback." Thirteen pages. Located at: Spark Institute , August 2010.

Target-Date Fund Proposals Miss the Mark - Summary: The Securities and Exchange Commission gave the public about two months to comment on proposed rules designed to give people a better understanding of target-date funds. The comment period ended a few days ago, and it seems the public doesn't care. Located at: Marketwatch.com, August 2010.

COMMENTARY: Reckless Target-Date Funds - Summary: The author writes, "While target-date funds are theoretically a good way to 'automate' the asset allocation shift participants need to make as they get closer to retirement, there are major flaws that are preventing these funds from accomplishing their goals." Located at: Retirement Solutions, August 2010.

401k Notice of Plan Termination: Checklist for Effective Participant Communication - Summary: This article is meant for retirement plan administrators looking for information on qualified 401k plan termination. Specifically, it details the notice of plan termination that must be delivered to participants and provide a blueprint for effective plan closure. Located at: Keane Retirement Services, August 2010.

DOLs Agenda for Hearing on Lifetime Income Options for Retirement Plans - Summary: DOL released the agenda for the upcoming joint hearing with the Department of the Treasury on lifetime income options for retirement plans. The hearing begins at 9:00 a.m. (EST) on September 14 and 15, 2010. A live webcast of the hearing will be available on EBSAs website. Located at: U.S. Department of Labor , August 2010*.

On the Subject of Being a Non-ERISA 403(b) - Summary: Since the final 403(b) regulations in July of 2007, there have been questions about how a non-ERISA 403(b) arrangement may maintain the status of being exempt from ERISA. This article addresses that issue. Located at: McKay Hochman, August 2010.

FASB Proposed Accounting Standards Update Re: DC Plan Loans - Summary: The objective of this proposed FASB rule is to clarify how loans to participants should be classified and measured by DC plans. Participant loans are currently classified as an investment. This proposal would require that participant loans be classified as notes receivable, which are segregated from plan investments and measured at their unpaid principal balance plus any accrued but unpaid interest. Located at: Spark Institute , August 2010.

COMMENTARY: Hardship Withdrawals: Turning a Molehill Into a Mountain - Summary: Last weekend we saw the power of the media to shape public opinion. Virtually every media outlet represented modest year-over-year changes in hardship withdrawals reported by last week's Fidelity Investments as a significant shift in behavior. Located at: Profit Sharing/401k Council of America, August 2010.

EBSA to Issue Proposed Rule on ERISA Prohibited Transaction Exemption Procedures - Summary: The Department of Labor's Employee Benefit Security Administration is issuing a proposed rule that would supersede the existing procedure governing the filing and processing of applications for administrative exemptions from the prohibited transaction provisions of the Employee Retirement Income Security Act. Located at: Planadviser.com, August 2010.

Retirement Industry Acronyms and Abbreviations - Summary: Like many industries, the retirement profession is acronym and abbreviation crazy. We have compiled this list of the more common acronyms and abbreviations to help those who are not familiar with their meaning. Located at: 401khelpcenter.com, August 2010.

Caterpillar Moving More Workers to 401k - Summary: Caterpillar Inc. said management, support and other nonunion employees in the U.S. will switch from a defined benefit pension plan to a 401k plan beginning in 2011. Located at: Planadviser.com, August 2010.

The DOL's 408(b)(2) Regulation: Impact on Registered Investment Advisers - Summary: This article focuses on the impact of the regulation on independent (not affiliated with a broker-dealer, mutual fund management complex or recordkeeper) registered investment advisers that provide non-discretionary advisory services (as opposed to discretionary investment management services) to plan fiduciaries. Located at: Reish & Reicher , August 2010.

SEC's Target Date Fund Proposal Garners Little Response - Summary: With the comment period on the Securities and Exchange Commission's proposed rules regarding target date funds having officially closed Monday, August 23, it won't take the securities regulator long to sift through the paltry 44 recommendations it received from industry officials and lawmakers. Located at: Investmentadvisor.com, August 2010.

Technical Q & A Regarding 403(b) Plans Information Sharing - Summary: The SPARK Institute has posted more than 20 answers to new questions it has received regarding its 403(b) Plans Information Sharing Data Elements Best Practices. The questions and answers deal with a range of topics, including loans, hardship withdrawals, distributions, and data transmission standards. Located at: The SPARK Institute, August 2010.

Service Provider Fee Disclosure Regulations: Covered Plans and Service Providers - Summary: This is the second in a series explaining the recently released DOL regulations relating to service provider contracts with plans and discusses the plans and service providers covered by the regulations. Located at: SunGard/Relius, August 2010.

Asset Allocation, Diversification and Correlation - Summary: The rational investor understands that there is a point where dollar wealth can increase more by risk control activities than by seeking higher investment returns. This insight is invaluable and lies at the heart of the rational investing approach. Located at: Schultz Collins Lawson Chambers , August 2010.

COMMENTARY: Roth is Wrong for Some People - Summary: Fred Reish writes, "I have been worried for some time that plan sponsors and participants do not understand the consequences of Roth deferrals. I am concerned that many plan sponsors do not educate participants properly and that many uninformed participants are making Roth deferrals." Located at: Reish & Reicher, August 2010.

Debating Target-Date Funds' Tricky Labels - Summary: The debate on how to re-label target-date funds is heating up. Located at: Wall Street Journal Online, August 2010.

New Regulations on Service Provider Fee Disclosure Obligations - Summary: Plan fiduciaries should prepare for compliance with new regulations that will require service providers to pension, 401k and other retirement plans to disclose information to assist plan fiduciaries in assessing the reasonableness of the service providers' compensation and potential conflicts of interest. Located at: McDermott Will & Emery, August 2010.

PSCA Comments on SEC's Proposed Rule on Advertising and Marketing Target-Date Funds - Summary: PSCA says that the proposed rule is a positive outcome of the Commission's joint study of target-date funds with the Department of Labor. They commend the Commission for not prescribing strict parameters for glide paths and choosing, rather, to emphasize increased disclosures about the nature and risks of target-date funds. Located at: Profit Sharing/401k Council of America , August 2010.

BrightScope Comments on SEC Target-Date Fund Naming Proposal - Summary: BrightScope, in partnership with Target Date Analytics, filed a comment letter on the SEC's proposed rule on Target Date Retirement Fund names and marketing. In short, they believe the SEC proposal has serious limitations and does not effectively address the misleading nature of target-date fund names. Located at: BrightScope , August 2010.

August Edition of the IRS Employee Plans News - Summary: April 30, 2010, was the last day of the two-year period for adopting employers of EGTRRA pre-approved defined contribution (DC) plans to adopt an approved restated document and file for a determination letter application, as described in Announcement 2008-23. Since then, the IRS has received numerous inquiries from adopting employers who failed to file a determination letter application with respect to a DC pre-approved plan by April 30, 2010, but would now like to do so. Located at: IRS , August 2010.

Summer 2010 Edition of IRS Retirement Plan News for Employers - Summary: New relief for single-employer and multi-employer plans from certain minimum funding requirements and benefit restrictions under the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010. Located at: IRS , August 2010.

Employers Adding 401k Plan Features to Drive Participation and Savings - Summary: Charles Schwab released new insights into the growing number of employers providing their employees with value-added 401k plan features that help drive positive plan participation and savings behaviors. Located at: 401khelpcenter.com, August 2010.

An Employee Benefits Legal Update - Summary: This August 2010 employee benefits update covers summary annual report deadline for calendar year defined contribution plans, DOLs new rules on fee disclosure and a number of other employee benefit related issues. Located at: Reinhart Boerner Van Deuren , August 2010.

Retirement Spending: Does the 4% Rule Hold Up? - Summary: As a baseline guide for setting individuals' spending expectations at retirement, it's in the ballpark, generating an initial spending recommendation that is arguably close to what comes out of a more complicated analysis. Located at: Vanguard, August 2010.

Best Practices for Multiple Vendor 403(b) Plans - Form 5500 Aggregation - Summary: ERISA covered 403(b) plans that use multiple vendors must gather and aggregate data from their vendors in order to complete Form 5500. This aggregation has created unique challenges. These best practices were developed to address the challenges. Located at: The Spark Institute , August 2010.

How to Tell if You Have a Good 401k Plan - Summary: A good 401k plan can boost your chances of a secure retirement and perhaps even allow you to retire sooner—if you take advantage of it. A generous employer contribution and low-cost investment options coupled with the tax deferral will help your savings grow. Conversely, an expensive 401k plan with poor investment choices will make it more difficult to save for retirement. Here's how to tell if your company has a competitive 401k plan. Located at: U.S. News & World Report, August 2010.

Retirement Plans: 401ks and Hardship Withdrawals - Summary: Fidelity Investments, the nation's largest provider of workplace retirement savings plans, reported last week that in the second quarter savings were up, but hardship withdrawals from these 401ks also increased. If you aren't familiar with hardship withdrawals, here's what the Internal Revenue Service says about hardship withdrawals. Located at: Bankrate.com, August 2010.

Decision to Invest in Fund With Higher Fees Was Breach of ERISA Fiduciary Duty - Summary: The court did not hold that the choice of retail shares over institutional shares presumptively violates ERISA's fiduciary duty of prudence. Rather, the court faulted the fiduciaries' failure to fully evaluate the fund classes, noting that had this analysis been performed, the fiduciaries would have discovered that the institutional funds offered the same investment at a lower cost than the retail funds. Located at: Employee Benefits Institute of America, August 2010.

Fidelity Data Shows Loans and Hardship Withdrawals on the Rise - Summary: Fidelity Investments released its quarterly data on the state of the 401k that show positive, steady savings behavior by the majority of participants. However, it also cited an increase in the use of loans and hardship withdrawals by participants. Located at: 401khelpcenter.com, August 2010.

DC Participants Have Significant Unmet Needs and Misunderstandings - Summary: The Second Annual DC Participant Experience Study provides some surprising new retirement planning insights and provides insight into which tools and communications media work best. Located at: 401khelpcenter.com, August 2010.

12b-1 Reform Could Hit American Funds and Others in the 401k Biz Hard - Summary: 12b-1 fees as we know them may soon be dead, if the Securities and Exchange Commission has its way, and their quasi-death could have big implications for mutual fund firms working inside 401ks. American Funds, OppenheimerFunds and other fund firms in the micro market may face more of an uphill battle than ever before, while fundsters who reach out to insurance-based 401k providers may see greater success. Fundsters looking for retirement plan distribution should take heed. Located at: MutualFundWire.com, August 2010.

FASB: DC Plans Shouldn't Classify Participant Loans As Investments - Summary: Corporate 401k and other defined contribution plans would no longer include participant loans as part of investments under a proposal unveiled Wednesday by the Financial Accounting Standards Board. Located at: Pensions & Investments Online, August 2010.

5500 Filed Timely but Processed Late - Summary: Under EFAST2, a preparer must file the 5500 electronically no later than midnight (using the time zone of the plan administrator) of the day of the filing deadline (e.g., August 2, 2010 for a calendar year plan). Some preparers have filed a 5500 shortly before the deadline but because the filing was not processed by midnight or initially was not processed at all, the DOL considers the filing late. If a preparer is confronted with this situation, they have three options. Located at: SunGard/Relius, August 2010.

Retirement Plans: Former Employees Can Be Current Problems - Summary: While plans can cash out some participants automatically, such as those with small account balances, participants with higher balances might choose to stay in the plan. When they do, administrators run the risk of losing track of them and don't understand the full impact these former employees can have on their retirement plan. Located at: Society for Human Resource Management, August 2010.

The Great Target-Date Fund Debate - Summary: There's a common misconception among investors that when a target-date fund reaches the date in its name, it will be composed entirely of safe investments. Some investment advisers say that their clients think that what they have in their account at that date is what they'll have for the rest of their lives. Located at: AARP, August 2010.

COMMENTARY: SEC's 12(b)-1 Proposal: Does It Actually Increase 401k Fiduciary Liability? - Summary: The author writes, "As the SEC tackles the contentious 12b-1 fee issue, it remains cognizant the problems may differ for taxable investors compared to non-taxable investors. Indeed, as the stronger argument to retain 12b-1 resides on the taxable side not on the retirement plan side, the SEC freely discloses it expects other regulators, especially the Department of Labor, to hold far greater sway on the use of 12b-1 in retirement plans. But the 401k fiduciary cannot escape the fact the SEC may have let the cat out of the bag in so aggressively targeting R shares." Located at: Fiduciary News, August 2010.

Should Annuities Be an Option in 401ks? - Summary: As the defined contribution plan debate has shifted focus from how best to help people accumulate during their working years to how best to help them generate guaranteed income in their retirement, there are some who believe that giving individuals the opportunity to invest in income-generating products such as annuities during their working years, and as part of their 401k plan, is important to their future. Located at: Investmentadvisor.com, August 2010.

DOL's Fee Disclosure Rule Likely to Aid Investment Consultants - Summary: The Department of Labor's long-awaited rule detailing the fee and compensation information that service providers must give to plan sponsors is expected to be a boon to investment consultants. The rules, intended to shine a light on the potential conflicts of plan service providers, apply to both defined benefit and defined contribution plans, but most of the impact will be on defined contribution plans. Located at: Pensions & Investments Online, August 2010.

Mobile Apps Provide Daily 401k Balance Updates - Summary: Providers of 401k plans have gone mobile with new applications that allow investors to check balances on a smartphone. There are also broad-based financial apps that allow one to monitor accounts. Located at: CNBC, August 2010.

The Impact of Mergers, Acquisitions and Dispositions on Your Retirement Plan - Summary: When considering a purchase/sale transaction with another organization, it is important to address the retirement plans of both entities, taking into consideration five topics. This paper touches upon these issues to provide a starting point when dealing with a purchase/sale transaction. Located at: Principal Financial Group , August 2010.

Summary of Rules Relating to 401k Fee Disclosure or Invest. Advice Guidance - Summary: Recent guidance, some proposed and some final, relate to 401k plan fee disclosure and invest. advice are reviewed and described in this six page legal alert. Located at: Employee Benefits & Executive Compensation , August 2010.

COMMENTARY: Why Avoid Company Stock in Your 401k - Summary: Author notes, "If something happens to [your employer] – such as losing an intellectual property lawsuit, finding itself in the middle of an environmental scandal or simply losing customers to an upstart competitor – then its employees may find themselves unemployed and unable to retire when they wanted to." Located at: Forbes Blog, August 2010.

Performance That Plan Sponsors Value Most - Summary: Plan sponsors are looking for advice and assistance that goes beyond the usual bread-and-butter issues of operations and plan compliance. Nearly two-thirds felt that they were not receiving adequate advice on fiduciary-related issues, nearly half wanted better regulatory updates, and nearly a third felt that the quality of participant education and advice left a lot to be desired. Located at: Advisor Perspectives, August 2010.

COMMENTARY: In SEC 12b-1 Debate, Will 401k Plan Sponsors Benefit? - Summary: The financial services industry appears to be lining up in a predictable fashion as each side prepares for the coming fight over 12b-1 fees. The bigger question for the 401k plan sponsor is: What can I learn from the upcoming debate within the industry? Located at: Fiduciary News Blog, August 2010.

Quick Poll Finds Workplace Financial Education Needed - Summary: In a recent survey conducted by the Personal Finance Employee Education Foundation with the support of the Employee Benefits News, 91% of respondents cited employee financial literacy as being extremely important or important in reducing the vulnerability of the American economy to major economic crises. Located at: Employee Benefit News, August 2010.

Americans Saving, but Not Necessarily in 401k Plans - Summary: Americans are busy squirreling away savings more aggressively than in decades, but not necessarily in their 401k plans. And that has observers wondering if employees are short-changing their retirement savings. Located at: Chicago Tribune, August 2010.

A Cross-Testing Primer - Summary: A profit sharing plan may not treat highly compensated employees more favorably than nonhighly compensated employees. Thus, the plan must have a definitely determinable allocation formula that passes nondiscrimination testing. This is an overview. Located at: McKay Hochman, August 2010.

Target-Date Funds and Managed Accounts - Summary: Although Congress gave 401k fiduciaries a free pass when it comes to deciding on the type of QDIA, the selection and monitoring of the specific target-date fund or managed account provider are fiduciary duties that are anything but trivial and routine. To illustrate this, this white paper raises several issues and the challenges facing the fiduciaries will be apparent. Located at: Investment Horizons , August 2010.

It's Not Just 12(b)-1 Fees, Say SEC Critics - Summary: Soft dollars, shelf space fees, platform fees and recordkeeping fees, among others, are all costs borne by mutual funds that are indirectly charged to investors. And while these expenses are disclosed, they often are buried in legal documents that investors rarely read and often don't understand. Located at: Investmentnews.com, August 2010.

Court Dismisses ERISA 401k Class Action Against Keycorp - Summary: The United States District Court for the Northern District of Ohio, Eastern Division, granted KeyCorp's motion to dismiss the ERISA class action complaint which was filed on behalf of certain participants who held KeyCorp common stock in their accounts in the Keycorp 401k Savings Plan. Located at: 401khelpcenter.com, August 2010.

How to Reduce Your ERISA Risks, and the Role of Fiduciary Liability Insurance - Summary: In this white paper, Charles C. Jackson and D. Ward Kallstrom from Morgan Lewis & Bockius discuss the responsibilities of ERISA fiduciaries, the types of litigation that may be brought against them, and practical suggestions on plan design and administration. Alison L. Martin shares her insights on how the role of fiduciary liability insurance and other forms of protection may help to mitigate against financial loss to plan sponsors and their fiduciaries when faced with a lawsuit. Located at: Chubb , August 2010.

Court OKs $16.5M Caterpillar 401k Fee Pact - Summary: A federal judge has given final approval to a $16.5-million settlement of an excessive 401k fee suit against Caterpillar, Inc. Located at: Planadviser.com, August 2010.

401k Recordkeeper Consolidation Is Coming - Summary: Price pressure is on 401k recordkeepers as a result of commoditized services, the government's focus on fees, and a slowdown in turnover among plan sponsors. With margins already thin, consolidation is inevitable. Though it is difficult to know, there are a few key indicators that can give advisers a clue into which providers may be at risk and which are likely to survive. Located at: Employee Benefit News, August 2010.

401k Follies: A Proposal to Reinvigorate the United States Annuity Market - Summary: Even given potential issues with requiring an annuity option for 401k plans, the time has come to hedge as a society against the risk associated with the recent embrace of the 401k as the private retirement funding vehicle of choice in the United States. The proposal described herein seeks to diminish the retirement security deficit through three interlocking regulatory parts: (1) a requirement to offer an annuity as part of 401k distribution options; (2) mandatory education pre-distribution on annuities; and (3) mandatory fee disclosure by annuity providers. These steps will likely reinvigorate the annuities market in the United States and help to bring an end to the 401k Follies. Located at: Social Science Electronic Publishing, August 2010.

Target-Date Funds Questioned - Summary: New academic research finds that managers of target-date funds tend to invest in their own family of funds, which can result in higher fees and lower performance. What can HR do to ensure its workers who use such funds are properly saving for their retirement? Located at: HREonline.com, August 2010.

How America Saves 2010: A Report on Vanguard 2009 DC Plan Data - Summary: This report is based on records for more than 3.2 million plan participants. It found that many participants in 2009 experienced higher account balances, traded minimally in response to market volatility, increasingly diversified their assets through automatic investment programs, and protected their retirement nest egg when they left their employer. Only a very small group of participants appeared to be adversely affected by the tough economy, leading to a modest decline in plan participation and savings rates and slight increases in loans and hardship withdrawals. Located at: Vanguard , August 2010.

Does a Custom Target-Date Fund Really Add Value? - Summary: As target-date funds continue their growth in adoption by defined contribution plans, so too grows the debate surrounding them. One commonly held belief is that a custom-built series of target-date funds is inherently superior to the proprietary strategies that are more widely available. In this article, two Vanguard experts consider this belief. Located at: Vanguard, August 2010.

DOL Issues Final Rules Relating to Qualified Domestic Relations Orders - Summary: The final rules are effective August 9, 2010 and provide guidance to retirement plan administrators, service providers, participants and alternate payees on the requirements of qualified domestic relations orders (QDROs) under ERISA. Located at: Snell & Wilmer LLP, August 2010.

The 408(b)(2) Regulation: An Overview - Summary: On July 16, 2010, the DOL's interim final regulation under ERISA §408(b)(2) was published in the Federal Register. This article describes the final regulation in detail, with a few comments on the likely impact of certain provisions. Located at: Reish & Reicher, August 2010.

DOL Issues New Regulations on Fee Disclosures - Summary: The Interim Final Regulations are set to become effective on July 16, 2011, and will apply to arrangements entered into on or after the effective date, as well as to arrangements already in effect. This article a brief overview of the background leading up to the new regulations and a good summary of the material terms of the Interim Final Regulations. Located at: Proskauer Rose LLP, August 2010.

The U.S. Retirement Market, First Quarter 2010 - Summary: According to this ICI study, total U.S. retirement assets were $16.5 trillion as of March 31, 2010, up 2.6 percent from $16.1 trillion on December 31, 2009; Americans held $4.2 trillion in all employer-based defined contribution retirement plans, of which $2.9 trillion was held in 401k plans; and, assets in lifecycle mutual funds grew 9.8 percent in the first quarter. Located at: Investment Company Institute , August 2010.

Options for Obtaining a Determination Letter for Your Prototype Plan - Summary: Employers need to consider alternatives if a determination letter wasn't obtained for a prototype plan and to confirm that current documents are being maintained to preserve the qualified status of a retirement plan. The alternatives available to employers is reviewed here. Located at: Employee Benefit News, August 2010.

COMMENTARY: Investors Misled by Brokers Masquerading As Fiduciaries - Summary: Author writes about the SEC, "Some CFA charter holders, such as brokers employed by the major Wall Street firms, do not acknowledge a fiduciary duty, which requires them to make their clients' best interests their top priority. Perhaps it's not polite to criticize your host (especially at its Annual Conference), but to me this smacks of yet another example of an agency that's too friendly with the folks it's supposed to regulate." Located at: Forbes.com, August 2010.

The Retirement Plan Gospel of Matthew Hutcheson - Summary: An advocate for higher fiduciary standards and greater fee transparency throughout the financial services industry, he has testified before Congress, written articles and books, helped start the 401k rating service, Brightscope.com, and been active in the year-old Committee for the Fiduciary Standard. Located at: Retirement Income Journal, August 2010.

Your Questions on Monitoring Client and Investment Fees - Summary: During a recent fi360 webinar, they received a lot of questions asking for further clarification. In this article, you'll find answers to the majority of questions submitted during the session written by the panelists from the original webinar. Located at: fi360.com, August 2010.

More 401ks Offering Self-Directed Brokerage Accounts - Summary: Defined contribution plans are adding self-directed brokerage accounts as a way of giving participants more choices even as some plans reduce the number of core investment options. DC plan executives want more simplicity in the core offerings, and the window has become an outlet for people who might be unhappy with the changes or who want more choices. Located at: Investmentnews.com, August 2010.

Evaluating Retirement Plan Advisors - Summary: Plan fiduciaries are judged not on the results that they achieve, but on the processes they follow. Such processes have evolved over time. One of the key features of this guide is the place it reserves for the frequent updating of standards and its recognition that the phrase, "once and done," is not something that can be applied in the ERISA context. Located at: Center for Due Diligence , August 2010.

Getting Greater Integration of Payroll and 401k Administration - Summary: In the unconnected world of payroll processing and 401k administration, there are a multitude of steps that need to be done in order to get the employee's 401k contribution into the 401k recordkeeper's platform. Located at: Employee Benefit News, August 2010.

Paradigm Shift Occurs in Defined Contribution World - Summary: According to a recent MetLife study, employees are looking for strategies to create and protect retirement income they can't outlive. Nearly half (49%) of those who have a retirement nest egg are interested in learning about how to protect their retirement income. Located at: 401khelpcenter.com, August 2010.

Most Plan Loans Now Exempt From Truth-in-Lending Act Disclosures - Summary: Revised regulations issued by the Board of Governors of the Federal Reserve System now exempt most plan loans from the Truth in Lending Act's disclosure requirements. Here are the details. Located at: BenefitsLink.com, August 2010.

How to Successfully Manage a 401k Plan Closure - Summary: 401k plan closure is a lengthy, complicated, and daunting process. Attention to detail, comprehensive communication efforts, staying in compliance, reviewing all necessary documents and procedures, finding missing participants, and finally distributing all of the plan assets are all critical elements of a successful 401k closure. Located at: Keane Retirement Solutions , August 2010.

Disclosing Retirement Plan Fees - Summary: HR leaders and plan fiduciaries should begin planning now for regulations that take effect next summer, which require more transparency from service providers of defined-contribution and defined-benefit plans. The unbundling of complex service fees may make it easier for HR leaders to determine whether the costs are reasonable. Located at: Human Resource Executive Online, August 2010.

Fiduciaries Held Liable for Selecting Retail Mutual Funds - Summary: The court determined that the Edison plan's fiduciaries violated their ERISA duty of prudence when the fiduciaries chose to invest in retail shares of mutual funds rather than the institutional shares of the same funds. This was an easy conclusion for the court to reach for those funds that provided "the exact same investment at a lower cost to Plan participants." Located at: McGuire Woods LLP, August 2010.

Does Your 401k Plan Put Your Business at Risk? - Summary: As a business owner, you probably do your best to provide your employees with quality benefits, including a 401k retirement plan to help them save for their golden years. So why would offering this benefit expose you and your business to the risk of a lawsuit? Located at: Businessweek.com, August 2010.

Employers Slow to Restore 401k Plan Matching Contributions - Summary: As companies move to reinstate those contributions, some are altering the way they calculate them and, in some cases, linking them to company profitability. Located at: Workforce.com, August 2010.

Auto IRA Introduced in Senate - Summary: S.3760 would amend the Internal Revenue Code of 1986 to expand personal savings and retirement savings coverage by allowing employees not covered by qualified retirement plans to save for retirement through automatic IRAs, and for other purposes. Located at: THOMAS, August 2010.

Time to Quit Your Old 401ks? - Summary: When changing employers, many workers leave money in the company retirement plan. But moving the dollars to your new firm or an IRA might be a better deal. Here's how to decide. Located at: Wall Street Journal, August 2010.

Exercising Fiduciary Control Over the Investment Menu in 403(b) Plans - Summary: Under ERISA 403(b) plans, the plan sponsor and other fiduciaries are responsible for the management of the plan and its investments in accordance with the demanding standards of ERISA Section 404. There are four central duties under this provision, which require fiduciaries to act. Located at: Plansponsor.com, August 2010.

DOL to Hold Hearing on Lifetime Income Options - Summary: The U. S. Department of Labor's Employee Benefits Security Administration and the Department of the Treasury announced a joint public hearing on Sept. 14, 2010, and if necessary on Sept. 15, to hear testimony on several specific issues relating to lifetime income and other arrangements that provide a stream of income after retirement for workers in employer-sponsored retirement plans. Located at: 401khelpcenter.com, August 2010.

Half of Americans Wish They Had a Traditional Pension - Summary: Given that half of those with 401ks have balances of less than $5,000, it should come as no surprise that seven out of ten adults not yet retired say they have a lot more to do financially before they are ready to retire. Unfortunately, while there is no silver bullet to fulfill the retirement needs of Americans, and four out of ten currently believe that they will outlive their retirement savings, creating an understandable and easily navigated pathway toward a guaranteed retirement lifetime income stream seems not only appropriate, but an absolute necessity. Located at: 401khelpcenter.com, August 2010.

Roth 401k Accounts Failing to Gain Traction - Summary: Since their introduction in January 2006, only about 31% of 401k plans have added the Roth 401k as a savings option. Further, only 7% of 401k investors with access to a Roth 401k use one. These statistics baffle many advisors. Located at: 401khelpcenter.com, August 2010.

The Price of Offering Employer Stock in Your 401k Plan - Summary: In favorable economic times, offering company stock as an investment option allows employees to share in the success of the company, engendering a sense of loyalty by linking the employee's and employer's fortunes together. But when things go awry, that same loyalty often disintegrates into allegations of fiduciary misconduct, lawsuits and financial settlements. So what can other fiduciaries learn from these situations? Located at: Employee Benefit Solutions , August 2010.

Retirement Income Adequacy: How Big Is the Gap? - Summary: The nonpartisan Employee Benefit Research Institute published a summary of its May 2010 policy forum, which addressed the topic "Retirement Income Adequacy: How Big Is the Gap and How Might the Market Respond?" Located at: 401khelpcenter.com, August 2010.

Tentative Settlement Reached in General Dynamics 401k Lawsuit - Summary: Pursuant to the terms of the settlement, a $15.15 million settlement fund will be created by General Dynamics' insurers, and FAMCO's insurers and other sources. After a deduction for plaintiffs' attorneys fees and administrative costs for settlement, the settlement fund will be allocated to the accounts of 401k plan participants. Located at: 401khelpcenter.com, August 2010.

Paychex Cleared in Revenue Sharing Dispute - Summary: Paychex may have been able to influence a 401k plan's investment lineup, but the employer still made the ultimate decision about which fund options to offer participants, a federal judge has ruled. Located at: Plansponsor.com, August 2010.

Mutual Fund Distribution Fees; Confirmations; Proposed Rule - Summary: Text of SEC's proposed rule that would replace rule 12b-1 under the Investment Company Act. The new rule would continue to allow funds to bear promotional costs within certain limits, and would also preserve the ability of funds to provide investors with alternatives for paying sales charges. Located at: SEC , August 2010.

ETFs Shunned by Many Plans - Summary: Investment advisers are big fans of exchange-traded funds. But that often doesn't extend to putting them on the menus of corporate retirement programs. Located at: Wall Street Journal, August 2010.

Tapping 401k Funds Can Open Your Business to Tax Problems - Summary: Did you use 401k funds to start your business, or are you tapping into your retirement to get you business through the current credit crisis? BusinessWeek recently drew attention to a possible trap: The IRS is starting to pay more attention to entrepreneurs who finance their businesses using money from their 401k funds. Located at: Small Business Trends, August 2010.

Active Versus Passive Investment Management - Summary: This white paper evaluates active investing relative to passive investing from a broad perspective, identifying the reasons why active management provides an opportunity for investors to take advantage of the insight, knowledge, and skill of investment professionals and, in most cases, to better meet their investment objectives. It also explores those situations and market environments which lend themselves to the potential for a more passive approach. Located at: Arnerich Massena , August 2010.

COMMENTARY: Cracks in Fee Armor - Summary: 403(b) plan officials have often pointed out that they have no legal requirement for fee vetting. Most could "care less" about plan fees. Disappointingly, new 403(b) regulations fail to require cost oversight. Recent developments, however, suggest that the ground may be shifting on this issue. Located at: 403bwise.com, August 2010.

COMMENTARY: Why New Rules for 401k Fee Disclosures Don't Go Nearly Far Enough - Summary: The Department of Labor has finally issued an "interim final regulation" governing fee disclosure and conflicts of interest in 401k plans. But, in Daniel Solin's opinion, it's too little, too late. Located at: Dailyfinance.com, August 2010.

Protecting Workers' 401k Plans - Summary: Retirement plan investors get a hand with new Labor Department rules on investment firms' fees and a court ruling that should help make employers pay more attention to the value of fund offerings. Located at: LA Times, August 2010.

Ten Things You're Probably Still Doing Wrong As a Plan Fiduciary - Summary: A list that is a compilation based on experiences of a group of experts and a list of "Common Plan Mistakes" from the Internal Revenue Service. Located at: Planadviser.com, August 2010.

12(b)-1 Cap Could Zap Retirement Fund Providers - Summary: American Funds, Fidelity Investments and Lord Abbett & Co. LLC are among a number of fund companies that will have to rethink how they serve the retirement marketplace through advisers if a proposed revamp of 12(b)-1 passes. Located at: Investmentnews.com, August 2010.

Mets Management Beaned by 401k Suit - Summary: Mets owner Fred Wilpon has been sued by Elyse Goldweber, the wife of late Sterling Equities employee David Sloss, who claims that her 401k nest egg has been scrambled as a result of dealings with infamous Ponzi schemer Bernie Madoff. Located at: Plansponsor.com, August 2010.

Form 5500 Schedule C - New Demands Create Hostilities amid Plan Sponsors and Service Providers - Summary: Although the new 5500 regulation relates to all types of plans that file 5500s, this article specifically addresses some issues creating a potential rift between plan sponsors and service providers that could cause harm to retirement plans and their fiduciaries. Located at: Prime Trust Advisors , August 2010.

Schedule C -- A New Era in Annual Reporting - Summary: The annual ritual of filing the Form 5500 is a familiar one for the hundreds of thousands of plan administrators charged with this responsibility. However, 2009 is a year of sweeping change for the Form 5500, and everyone involved, from plan administrators to plan service providers, is confronting new issues. Located at: Prime Trust Advisors , August 2010.

Cheaper Choice in 401ks - Summary: An increasing number of 401k plans offer investment options that look a lot like the typical mutual funds. But they're actually a whole different animal—and investors would be smart to know the difference. Located at: Wall Street Journal, August 2010.

Allocation of Revenue Sharing - Summary: Most 401k fiduciaries have not focused on properly allocating the revenue sharing received by their plan's recordkeeper. In fact, it is possible that many plan fiduciaries are not aware that their recordkeepers are receiving revenue sharing from the investments, while others may assume that the recordkeepers are handling the matter properly, or assume that it is not an issue of concern for plan sponsors. Those are dangerous assumptions. Located at: Reish & Reicher, August 2010.

Fund Facts Sheets Fail Under 404(c) - Summary: While the full prospectus must still be available on request, having to automatically provide only the summary may help simplify 404(c) compliance. However, plan sponsors should be careful. What you think is a summary prospectus may not be one at all. Located at: Reish & Reicher, August 2010.

Service Provider Fee Disclosure - Summary: The DOL issued an interim final regulation detailing new requirements for service provider fee disclosure to plan fiduciaries under the ERISA. This is an overview of the regulation, including how it might impact service providers and sponsors, as well as Vanguard's approach to compliance. Located at: Vanguard , August 2010.

ETF's: A Solution In Search of a Problem - Summary: Although exchange traded funds are low-cost investments that can diversify a 401k portfolio, there is still uncertainty whether the funds are suitable as a 401k investment option. Located at: Employee Benefit News, August 2010.

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