An added benefit of SDBAs is that plan participants can access their brokerage window
while still receiving the tax benefits of investing within an employer-sponsored plan, said Augelli.
For example, governments can place a limit on the amount invested through a brokerage window
as a set dollar amount or as a percent of the account.
While the provider of the brokerage window
is supposed to disclose indirect compensation through several types of investments that plan participants can make, the provider will not know up front which of those investments a participant will choose.
In Hecker, the courts said Erisa does not require plans to disclose revenue sharing and rejected the argument that the investments were too expensive, noting participants could access more than 2,500 mutual funds through the plan's brokerage window
In addition, plan auditors may experience difficulty in obtaining brokerage window
investment information by individual investment categories (common stocks, mutual funds, employer securities, etc.
Nearly one-half of respondents now offer a brokerage window
as an option.
Another important aspect is the tool's ability to show employees' investment returns across a variety of 401(k) retirement strategies, including target date funds, managed accounts, do-it-yourself fund menus and brokerage window
Although fewer than 10% of companies now offer the brokerage window
option, that number is expected to grow quickly, according to Cerulli Associates, a Boston-based financial research company.
7 /PRNewswire/ -- TIAA-CREF, the financial services organization and leading provider of retirement products and services in the academic, medical and cultural fields, announced today enhancements to its no- fee Investment Solution IRAs that give participants even more choices for building a diversified retirement portfolio, including Lifecycle funds and a self-directed brokerage window
, TIAA-CREF Brokerage Services.
By creating a single sign-on link with our Retirement Passport product to the NTSI brokerage window
, plan participants will receive a seamless transition from their plan information to their Select Retirement Account information with one mouse click," said Serge Boccassini, Director of New Product Development at Northern Trust Retirement Consulting.
Fiduciary responsibilities will include decisions around auto-enrollment, qualified default investment alternatives (QDIAs), brokerage window
options and employee education, to name a few.
In his role at Reliance, Randall will provide management oversight to various technical services offered by Reliance, including specialized accounting and reporting services unique to retirement plans such as mutual fund revenue management, certified trust statement support, and brokerage window