There might be a there, there. It could be that TDFs have an Achilles’ Heel that leaves them vulnerable.
Tag "Fred Reish"
The conflicts-of-interest inherent in selecting proprietary funds are apparent. Less so are the criteria used to determine what a suitable process might be.
You can squeeze a tube of toothpaste all you want, but that doesn’t change how much toothpaste it holds. Are we experiencing the same thing with 401k fees, or are they really dropping as much as we think? And, if they are dropping, are they dropping for the right reasons?
Thoughtleaders with the veteran experience to sift through the noise and separate the wheat of solid trends from the chaff of tiresome fads. Accurately discerning between the two can mean the difference between long-term sustainability and irretrievably sunk costs.
MEP Fever and Carly Simon sings “Fiduciary” (to the tune of “Anticipation’).
Still, if one has confidence the marketplace will drive the industry towards focusing on the best interests of clients, then a de facto fiduciary standard can emerge organically, without overt reliance on regulators.
One of the nation’s top ERISA attorneys tells us even if the Fiduciary Duty is dead, it’s not. The only question is which part will remain alive and which part with wither on the vine. Fred Reish has an idea, and he tells us here.
In the final analysis, we may get the best of both worlds, a reduced regulatory compliance burden with a market that imposes the fiduciary standard.
Any regulation that requires 10 pages of explanation for every page of regulation is bound to have something good, something not-quite-good-enough, and something not-so-good.
FiduciaryNews.com Trending Topics for ERISA Plan Sponsors: Week Ending 11/23/18
Retirement policy retreads, the latest from the front lines of the fiduciary battle, and the WorryMeter and the markets.