 |
|
|
| Index Fund Proxy Voting and Fiduciary Liability |
| A recent report from Wintergreen Advisers argues there is a critical flaw underlying the current trend of plan sponsors pushing more and more assets into lower-fee index funds—a flaw that could be construed as a fiduciary violation. The report’s title doesn’t mince words: “How the Votes of Big Index Funds Feed CEO Greed and Put Americans’ Retirement Savings in Peril.” Neither do David Winters, CEO of Wintergreen Advisers, and Liz Cohernour, chief operating officer (COO) of Wintergreen, in discussing what they see as major failures on the part of the big index fund providers to ensure individual investors are treated fairly.Read more > |
| Boomers and Gen X Call Retirement Passe |
| Baby Boomers are in the throes of retirement, and Generation X is only steps behind. According to Generations Apart—a new study from Allianz Life Insurance Company of North America—the vast majority of both groups believe the traditional definition of retirement is a “romantic fantasy of the past.” More than eight in 10 (84%) from both generations said they feel that a retirement starting at age 65 spent “doing exactly what you want” is now unrealistic.Read more > |
| You Failed Nondiscrimination Testing, Now What? |
| According to a survey from Judy Diamond Associates, nearly 60,000 401(k) plans failed Internal Revenue Service (IRS) nondiscrimination testing, with more than one in 10 issuing corrective distributions to highly compensated employees (HCEs) in 2012. “The plan design is by far the best way to get to a point where more employers are passing their nondiscrimination testing,” says Geno Cufone, senior vice president, retirement administration, at Ascensus in Dresher, Pennsylvania.Read more > |
| Money Market Reform Likely to Change Plan Investments |
| Money market fund reforms, which take effect in October 2016, will require retirement plan sponsors to review the money market funds in their lineups and possibly replace their funds, experts say. And this will affect nearly two-thirds of plans, as 63.5% have money market funds in their lineup, according to the 2014 PLANSPONSOR Defined Contribution Survey. The rule amendments require investment managers to establish a floating net asset value (NAV) for institutional prime money market funds. The rule also allows non-government money market funds to use liquidity fees and redemption gates.Read more > |
| Congressional Bill Would Junk Cadillac Tax |
| Representative Joe Courtney (D-Connecticut) unveiled legislation from the House Ways and Means Committee to repeal the excise tax on high-cost health insurance plans scheduled to go into effect in 2018. The policy, sometimes referred to as the “Cadillac tax,” would apply a 40% tax to health insurance expenditures over $10,200 per person and $27,500 per family—it is one of the most controversial provisions of the Patient Protection and Affordable Care Act (ACA).Read more > |
| Share the good news with a friend! Pass the Dash along – and tell your friends/associates they can sign up for their own copy.Read more > |
News from PLANSPONSOR.com
Copyright © Asset International, Inc., 2014.
All
rights reserved. No reproduction without
prior authorization.
|
|
|
|
Editorial: Alison Cooke Mintzer alison.mintzer@strategic-i.com
Advertising: advertise@strategic-i.com
Subscribe to NEWSDash, click here .
To unsubscribe, click here.
|
BrightScope /
CIO /
FWW /
Investor Economics /
LiquidMetrix /
Market Metrics /
Matrix Solutions /
PLANADVISER /
Plan For Life /
PLANSPONSOR /
Simfund |