404c / Fiduciary liability if initial enrollment investment choices are limited to pre-allocated portfolios

[Guest kpneward]

If a 401(k) plan offers a full menu of mutual funds, representing all of the major asset classes, but limits a participant's INITIAL enrollment choices to five asset allocation funds (conservative to aggressive) and a fixed option, with the ability to make investment changes on-line or by VRU after enrollment, does this create any potential 404c or fiduciary liability problems?

I don't see that it does but I am interested in a fresh perspective.