Plan Investments

[Guest gpr]

Company A (a construction company) and Company B (a bank) were originally part of a controlled group. Company A is owned 100% by owner X and Company B is owned partially by owner X (formerly in excess of 80%, current status being researched, presumed to be less than 80%).

Each had their own 401(k) plans, which were originally drafted identically (subsequent amendments have changed that to some degree). Each had identical investment funds for individual participant direction - 5 mutual funds plus one "Bank Fund", which consisted of CD's and money market passbook savings accounts of Company B. The companies have since potentially (pending research) ceased to be a controlled group, but both still offer the "Bank Fund". IF the companies are no longer a controlled group, is the "Bank Fund" now a collective fund as it stands? What if they add Company B stock or obligations to the fund - now a collective? What if Company B stock or obligations were added to the fund while still part of a controlled group and then they ceased to be a controlled group? Given the ownership structure, is/was it feasible to put Company B stock or obligations into the fund at all? (Company B stock is publicly traded on a national exchange.)