Colorado Company Offers K Plan Account Management

Schield Management Company of Littleton, Colo., said it is now offering its Retirement Solutions Strategy with its management of small and mid-sized 401(k) accounts.

Schield is one of four registered investment advisors to offer this type of third-party management of 401(k) portfolios via Nationwide The Best of America(R) Group Pension Series Program. 

Schield said plan sponsor benefits from this program include:

• no cost to the plan
• enrollment assistance
• advanced Web-based technology
• advanced encryption techniques
• marketing and sales support.

The company said its program tries to resolve one of the chief concerns of retirement plan participants: which funds to select within their 401(k) plan. It does so through asset allocation and quantitative analysis, Schield said.  

Schield’s Retirement Solutions have the goal of capital appreciation through capital preservation.  The company monitors each investment position and key domestic and international equity and bond indicators on a daily basis.  The participant’s portfolio can then be adjusted as needed to reflect market conditions and the participant’s investment goals, Schield said.

Schield uses nine individual models to customize participants’ portfolios according to:

• risk tolerance
• time horizon
• financial assets
• continuing economic and market factors. 

The company then selects what it thinks is the best lineup of funds from more than 300 available funds from over 50 fund families. In April 2003 the universe of funds is expected to expand to nearly 1,000. the Schield announcement said.

The current fee for this service is a flat 1.50% of the participant’s account balance.  There is no minimum account size, Schield said.