Brokerage account = no fidelity bond

[Santo Gold]

If a 401(k) plan is 100% self directed, and all monies go into individual brokerage accounts for each participant, is a fidelity bond still required? I think the answer is yes, since the bond is needed to insure against mishandling by the person(s) who is responsible for getting the money to the brokerage accounts. However, I noticed on my 5500/SAR software that when I indicate that all money is 100% self-directed and participants receive statements directly from the investments, that I am not prompted for bond information. This leads me to wonder if the bond requirement is N/A for such accounts. Does anyone have a comment or 2 regarding this?

Thanks

[Leopurrd]

All plans covered under Title I of ERISA must have a fid bond- I didn't think you were required to report the bond on the SAR unless more than 5% of your assets were nonqualifying?

If I am incorrect please let me know - thanks!!

Vicki