In a workshop at the 2013 NAPA/ASPPA 401(k) Summit, Fred Reish, partner at Drinker Biddle & Reath, and Samuel Brandwein, corporate retirement director at Morgan Stanley, took on advisors' new responsibilities after fee disclosure.

There are two "disclosure regimes" advisors have to comply with, according to the panelists: 408(b)(2) plan disclosures and 404(a)5 participant disclosures.

Fred ReishUnder the 408(b)2 prohibited transaction rules, advisors have to "prudently evaluate compensation for covered service providers," Reish said. If they fail to do so, they've committed a prohibited transaction. Sponsors aren't off the hook, either, if they fail to collect disclosures.

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