Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Photo: AP

We all know the critical year-end duties all 401(k) plan sponsors must complete (and if you don’t, you can read about them in “5 Tasks Every 401(k) Fiduciary Must Do Right Now,” FiduciaryNews.com, Dec. 2, 2014). We’ll set those aside and talk for a moment about a laundry list of good ideas for plan sponsors to put on their annual review list. 

1. Review and update the plan’s Investment Policy Statement (IPS). If you don’t have one, you should. Just make it broad enough so it doesn’t pigeonhole the plan into doing something it doesn’t want to (or worse, something it can’t do). If you’ve got a solid IPS, it should not require much in the way of change. Indeed, it might be years before you need to change it. The main things to look for are any regulatory changes or fundamental shifts in investment theory that might outdate some of the language in the IPS. Here’s something to be especially wary of: ERISA attorneys often opine on the content of the IPS. ERISA attorney are not experts in investment theory, so their suggestions there may themselves be outdated. (Along these lines, don’t assume just because it’s “industry-accepted” that it’s appropriate for your IPS.) 

Complete your profile to continue reading and get FREE access to BenefitsPRO.com, part of your ALM digital membership.

Your access to unlimited BenefitsPRO.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical BenefitsPRO.com information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

Already have an account?


Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.