How DOL Fiduciary Rule Will Disrupt Blackrock and Schwab Robo-Advisors
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DOL's Final Fiduciary Rule How DOL Fiduciary Rule Will Disrupt Blackrock and Schwab Robo-Advisors Abstract: It turns out that the final fiduciary rule has created a significant problem for several robo-advisors like Schwab and Blackrock's FutureAdvisor, that use the platform to distribute their own proprietary products. This is an insightful 18-minute video. Source: Youtube.com Game Changer, Revisited: The Final Conflict of Interest Rules Abstract: The DOL's new conflict of interest rules represent a sea change for the financial services industry. Any advisor or service provider whose business model depends on variable or indirect compensation, or on the premise that one's investment recommendations don't cross the threshold into fiduciary status, should assume that their business model must change. Pete Swisher goes into great detail in this 18-page paper. Source: Pentegra.com Video: Law Experts Take an In-Depth Look at the DOL's Fiduciary Rule Abstract: Alexander Ryan and David Olstein, of the Groom Law Group, take an in-depth look at the DOL's new fiduciary regulation and its impact on retirement investors and financial institutions in this 23-minute video. Source: Cammackretirement.com The New Fiduciary Rule: From the Perspective of the Plan Sponsor Abstract: The final rule targets those that give invest. advice to a plan, its participants or its beneficiaries. As a result, it effectively expands the group of individuals who may be considered a fiduciary. However, this article covers a few key points that help provide a better understanding of how the rule may affect plan sponsors. Source: Benefitslawadvisor.com The DOL's New Fiduciary Rule: The Thin Line Between Education and Advice Abstract: The incorporation of the principles of IB 96-1 into the final rule is helpful but limited, as the final rule leaves a number of interactions between financial institutions and retail retirement clients in a gray zone, particularly when it comes to information provided on web sites and call centers where specific funds or investment products may be mentioned by name. This publication provides a description of non-fiduciary education under the final rule. Source: Shearman.com
General Items Case Study: Smart Plan Design and Holistic View Guide Positive Change Abstract: Case study illustrating the difference a professional retirement plan advisor can make for employers and their workforce. Gouldin & McCarthy worked with a regional bank to improve their retirement plan offering. The bank, with 350+ employees and $30M in plan assets, wished to make changes to their plan that would benefit all employees and offer cost-efficient savings. Source: Retirementadvisor.us Abstract: Many people think the best thing about that workplace plan is the cost. If you're like half the people in a recent survey, you think the investments in a workplace retirement plan or through a retail brokerage are free. But they're not. Source: Bankrate.com
403(b) Plans Make Sure 403(b) Clients Do Not Lose Tax-Exempt Status Abstract: The Internal Revenue Service is reminding tax-exempt organizations that many have a filing deadline for Form 990-series information returns in mid-May. Losing tax-exempt status can affect the ability to offer 403(b) plans. Source: Planadviser.com
Fiduciary and Plan Governance Material Money Market Reform and Stable Value: Considerations for Plan Fiduciaries Abstract: With SEC-mandated changes going into effect for money market funds in mid-October 2016, many plan fiduciaries are reviewing options for their investment lineups that are designed to protect principal. In this paper, Vanguard Stable Value Management's Mark Dorfler explains the benefits and risks of two of these options: money market funds and stable value funds. Source: Vanguard.com
Insight: Studies, Research and White Papers Student Loan Debt Affecting Americans' Finances and Living Situations Abstract: Student loan debt, which according to the Federal Reserve now totals over $1.3 trillion, is causing Americans to delay saving for the future and forcing them to take on multiple jobs. Eight in 10 U.S. adults with student loans say they have made financial or personal sacrifices because of loan debt. Half of Americans with student loan debt say they have delayed contributing to a retirement account. Source: Planadviser.com Millennial Women's 401k Balances Are Half of Men's Abstract: Millennial women are falling behind men when it comes to retirement saving, T. Rowe Price found in a survey. Millennial women are saving an average of 5% of their salary, compared to 7% for men. While this is only slightly below the savings rate of men, perhaps because they are earning much less, their 401k balances are half that of men's. Source: Planadviser.com Plan Sponsors Should Promote Roth Accounts More Abstract: Many U.S. employers are missing out on an opportunity to help employees with their financial well-being by not offering or fully explaining and promoting the benefits and value of Roth 401k contributions, according to retirement experts at Willis Towers Watson. Source: Plansponsor.com Plan Fees Are Falling...Right? Abstract: Average investment expenses are showing a multi-year declining trend, thanks to a consumer push for lower cost alternatives. However, revenue sharing costs have increased overall, leaving total plan costs relatively flat. With advances in technology increasing efficiency and productivity, administrative costs should be decreasing, but this is not the trend. Source: Ekonbenefits.com
State-Based Retirement Programs Maryland Adopts State-Run Savings Program Abstract: Maryland Gov. Larry Hogan signed into law legislation on May 10 that will create a state-run retirement plan for workers not covered by a retirement plan at work. The bill (SB 1007) establishes the Maryland Small Business Retirement Savings Program and Trust, which creates incentives to encourage private-sector employers to make the program available to their employees. Source: Ntsa-net.org
Compliance and Regulatory Plan Document Problems That Can Be a Pain for Plan Sponsors Abstract: A written plan document is a legal document with ramifications in governing a retirement plan. A retirement plan document can cause many issues for a retirement plan sponsor. This article reviews the impact plan document problems can have on retirement plans and what steps sponsors should take to avoid them. Source: Jdsupra.com
Marketplace News SageView Adds Retirement Plan Consultant
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