Jump to content

404(c) now that 404a regs are in place

Recommended Posts

I just noticed that the formatting didn't come out right right! I've corrected it below.

Just want to see if people agree. The "old" 404© had most of the participant disclosure stuff rolled into the 404a-5 regs.

So, under the "old" 404©, there was a laundry list of items that follows, among other requirements. It is my understanding that of these items below, the only ones still required are 4a and 4g. All of the others are now subsumed into the 404a-5 regs. (There are still some requirements not listed below, such as the availability of the "broad range" of core investments for example, etc., right?)


4. Participants will be provided with the following information in order to make informed decisions regarding their investments. Information which is to be given to all participants:

a. An explanation that the Plan is intended to comply with ERISA Section 404© and Title 29 of the Code of Federal Regulations Section 2550.404c-1 and that Plan fiduciaries may be relieved of responsibility for losses resulting from participant investment direction.

b. Description of investment options – objectives, risk and return characteristics, type and diversification of assets within each option, historical returns.

c. Identification of any “designated investment managers.”

d. Explanation of how participants may give investment instructions, any restrictions on transfers between funds.

e. Description of any fees associated with investment option purchases, sales, or transfers.

f. Name, address, and phone number of the Plan fiduciary (or assigned person) responsible for providing the information which is to be provided upon request (see (5) below).

g. For plans which include employer stock as an investment option, a description of procedures for maintaining confidential information.

h. Prospectuses for investment options which are subject to registration under the Securities Act of 1933.

i. A description of voting and tender rights, if any.

5 The following information will be made available to participants upon their request to:



Telephone #:

a. A description of each investment option’s operating expenses and management fees of the underlying investment media, expressed as a percentage or average net assets of the designated investment alternative.

b. Any investment materials which are made available to the Plan, such as prospectuses, financial statements, and reports of underlying investment media for investment options which are not subject to the Securities Act of 1933.

c. The latest information available regarding a list of asset holdings, value of assets, GIC provider, term and rate of return of the contract, and the like.

d. Unit values or net asset values, historical returns (net of expenses).

e. Information of the value of an individual’s interest in the investment.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Create New...