The latest addition adds five non-proprietary fund families: Aim, Lord Abbett, Franklin-Templeton, Federated and MFS, in addition to the more than 60 Scudder mutual funds now offered in the plan.
The Scudder Flex Plan allows employers to select up to 15 different investment options for participants, and a 401(k), profit sharing, money purchase, or nonqualified deferred compensation “top hat” plan, if set up after January 1, 2004, can include three non-Scudder options. However, when the plan is established, 70% of the plan’s assets must be invested in Scudder funds and the plan must invest in Scudder Class A shares at Net Asset Value (NAV) or Scudder Class R shares, according to the press release.
The addition of funds continues the enhancements made to the Scudder Flex Plan that began last year when the company added Scudder class R shares and increased the non-Scudder funds available. The company also improved its sales and enrollment support for retirement plan financial advisors, enhanced its Select Third Party Administrator program and began accepting start-up plans, the release said.