Fiduciary Committee Meetings

[Guest Don123]

Does anyone know if there is a rule of thumb as to how often a retirement plan's (profit sharing and 401(k) plan) committee should meet during the course of a year to discuss plan administration/operational matters and how often to review investment matters (appropriateness of funds, performance, diversification, etc.)? I have heard that some 401(k) committees meet every month, some every three months, and some only a couple of times per year. Is there a good rule of thumb as to how many times is sufficient and how many times would not be good enough?

Also, can anyone point me to any good articles or websites that would have a list of the kinds of items that a fiduciary committee should review every time it meets?

I appreciate any thoughts on these points.

Thank you in advance.

[mbozek]

This question must be referred to legal counsel because there is no definitive rule.

[MoJo]

As often as necessary to fulfill their fiduciary obligations.... Making that decision is itself a fiduciary decision.

[Guest quinn the car fixer]

the center for fiduciary studies suggests a quarterly review would be sufficient

[Alf]

The DOL has personally mentioned to us that they want to see INVESTMENT committees meeting at least quarterly. I don't know of any that actually meet that frequently, however because they take care of more routine (non-investment) matters by consent outside of meetings.

On the investment side, it really depends on the types of investments and advisors used so there is no set answer.

[mbozek]

I dont know of any requirement for quarterly review by any committee. Some committees dont meet more than once a year because there isnt enough for the members to do. The only reason to review quarterly is if the plan offers volitile funds that need close monitoring.

[Guest Don123]

Thank you very much for all of your replies. They are very helpful and give us a sense of how to approach this issue.