Tag: retirement plan fees

GWU Lawsuit Over Two Retirement Plans Dismissed

A federal court judge ultimately found that a participant in George Washington University’s two retirement plans had previously waived her right to sue for fiduciary breaches under the Employee Retirement Income Security Act (ERISA) in a previous agreement.

Fidelity Argues Infrastructure Fees Are Necessary

In support of its motion to dismiss a consolidated lawsuit, Fidelity argues that it is entitled to negotiate and collect fees from providers on its FundsNetwork, and that siding with the plaintiffs would be detrimental to retirement savers.

Use of Index Funds in 401(k)s Increasing

The use of index funds by plans in the BrightScope Defined Contribution Plan Database increased from 79% of plans and 16.7% of assets in 2006 to 91.3% of plans and 33.2% of assets in 2016.

Fidelity Takes on Vanguard With Fee Reductions

Fidelity investments is announcing a 14% price reduction on its target-date funds (TDFs), resulting in most of those funds having lower expense ratios than comparable Vanguard index target-date funds.

Appellate Court Revives UPenn 403(b) Lawsuit

However, in a dissenting opinion, Senior Judge Jane Richards Roth says cases such as this one should be carefully scrutinized in order not to permit implausible allegations to result in a large settlement, under which a substantial portion of the funds are diverted to attorneys’ fees.

Court Orders Briefing in George Washington University ERISA Suit

The question in the lawsuit, according to a federal judge, is whether the plaintiff has standing to sue, for one, because she signed a settlement agreement with the university, and also, the defendants claim, she has not proved harm in her challenges to investments used in the university's 403(b) plan.

Fidelity Charged With ‘Secret’ Payment Scheme in Violation of ERISA

A lawsuit contends that kickback payments Fidelity requires from investment funds bear no relationship to the cost or value of services provided and are a replacement for declining amounts of revenue sharing payments received by Fidelity as a result of the increasing use of passive mutual funds, institutional and R6 share classes of mutual funds and collective trusts.