SEC’s Mary Shapiro: “When it comes to 12b-1 fees, there is a need for more fundamental change than mere disclosure reforms and a name change.” FiduciaryNews’ exploration of this hot potato reveals a surprising misconception.
Conflicts of Interest
A typical 401k plan fiduciary has no doubt read about this new product. Fiduciary News goes deeper to reveal answers to some of the more critical questions the astute fiduciary might have about BrightScope’s Personal Fee Report.
The SEC does the right thing, and some 401k fiduciaries may find they’ve been doing the wrong thing.
The DOL admits, due to the number of variables involved, there’s no easy way to calculate the fees and expenses paid by your 401(k) plan. You might be surprised who the DOL suggests trying to find the answers to the following ten questions from.
Worried while Washington fiddles? These three vital questions might just help you determine if today’s DOL ruling will increase your personal fiduciary liability.
Mutual fund shareholders can’t have their cake and eat it, too. Indeed, a myth busting professor bluntly states “mandatory fee reductions are likely to injure fund shareholders.”
Here’s an issue that can perplex even the most experienced ERISA/401k fiduciary: What’s the difference between a broker and a Registered Investment Adviser? More importantly, does the difference significantly raise the fiduciary liability for the typical fiduciary?
We don’t need more regulation to prevent future Madoffs, we just need common sense (and, perhaps, a tad bit more enforcement of existing regulations). Here are five straightforward rules fiduciaries can follow to avoid their own personal investment Waterloo.
The Supreme Court will raise the visibility of the fee structure within the investments of nearly half of all 401k plan assets. Just because the powers that be say it’s so, doesn’t necessary mean your average fiduciary can rely on the decree. Indeed, the Supreme Court of the United States appears poised rule in favor of mutual fund shareholders, yet, at the same time, mislead both 401k investors and fiduciaries.
A mutual fund’s expense ratio represents only one factor in analyzing the appropriateness of a mutual fund as an investment. Other factors may in fact be more important (including, among other things, portfolio manager tenure, number of holdings, total net assets, investment objective and consistency of returns).
