Some of the plaintiffs' attorneys in 401(k) excessive-fee cases are turning out to be big fans of collective investment trusts.
Two large, recent settlements in cases brought by St. Louis-based Schlichter, Bogard and Denton suggest large plan sponsors may be more likely to incorporate CITs in investment lineups in the future.
Settlements with Ameriprise, for $27.5 million, and earlier this year with Lockheed, for $62 million, both came with non-monetary stipulations that the sponsors "consider the use of collective investment trusts" in plan design.
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Nick Thornton
Nick Thornton is a financial writer covering retirement and health care issues for BenefitsPRO and ALM Media. He greatly enjoys learning from the vast minds in the legal, academic, advisory and money management communities when covering the retirement space. He's also written on international marketing trends, financial institution risk management, defense and energy issues, the restaurant industry in New York City, surfing, cigars, rum, travel, and fishing. When not writing, he's pushing into some land or water.
