Printer Friendly
Dictionary, Encyclopedia and Thesaurus - The Free Dictionary
3,899,645,739 visitors served.
forum Join the Word of the Day Mailing List For webmasters
?
Dictionary/
thesaurus
Medical
dictionary
Legal
dictionary
Financial
dictionary
Acronyms
 
Idioms
Encyclopedia
Wikipedia
encyclopedia
?

Qualified Default Investment Alternative

   Also found in: Acronyms 0.01 sec.
Qualified Default Investment Alternative
An investment vehicle a fund manager may use for retirement plan contributions in the absence of direction from the plan participant. A qualified default investment alternative must be diversified, may not directly consist of securities in the company for which the plan participant works, and may not penalize the participant for early withdrawal. Qualified default investment alternatives were defined in the Pension Protection Act of 2006 as part of a broader effort to ease automatic enrollment in retirement plans.


Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.
?Page tools
Printer friendly
Cite / link
Feedback
Add definition
Mentioned in?  References in periodicals archive?   Financial browser?   Full browser?
No references found
 
The qualified default investment alternative (QDIA) provision made asset allocation/target date funds the vehicles of choice, yet proprietary holdings and management inconsistency among these vehicles make them a poor choice for many investors.
Because of this, the law now allows plan fiduciaries to invest funds that are not being directed by plan participants into qualified default investment alternatives (QDIAs) that automatically make appropriate investment choices for employees based on age, lifestyles and risk.
MetLife's recent testimony before the Department of Labor's ERISA Advisory Council at a hearing entitled "Stable Value Funds and Retirement Security in the Current Economic Conditions" - in which MetLife urged the DOL to reconsider stable value as a qualified default investment alternative (QDIA) - can be downloaded at http://www.
 
 
 
Financial Dictionary
?

Terms of Use | Privacy policy | Feedback | Advertise with Us | Copyright © 2012 Farlex, Inc.
Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.