How do I know if my plan invests a part or all of its assets in a master trust agreement?

[Will Smith]

I work for a single employer who has a a 401k plan with Nationwide Trust Company. How do I know if our plan invests in a master trust agreement and need to comply with FASB ASU 20116?  

Reading a description from Nationwide, it looks like our plan has it's own trust which then invests in assets, here is the description they provide

 

How unit value reporting works
Individual mutual fund investors purchase shares. To obtain their market value, they take the number of shares they own and multiply them by the net asset value (NAV) of the mutual fund.
It works differently with a trust program (like your company’s retirement plan). The trust is created as part of the qualified retirement plan to own and manage the plan’s assets. Plan participants do not own individual mutual fund shares, rather they own units as a proportionate interest of the plan’s assets. 

Any input is appreciated.

Thank you

[Larry Starr]

3 hours ago, Will Smith said:

I work for a single employer who has a a 401k plan with Nationwide Trust Company. How do I know if our plan invests in a master trust agreement and need to comply with FASB ASU 20116?  

Reading a description from Nationwide, it looks like our plan has it's own trust which then invests in assets, here is the description they provide

 

How unit value reporting works
Individual mutual fund investors purchase shares. To obtain their market value, they take the number of shares they own and multiply them by the net asset value (NAV) of the mutual fund.
It works differently with a trust program (like your company’s retirement plan). The trust is created as part of the qualified retirement plan to own and manage the plan’s assets. Plan participants do not own individual mutual fund shares, rather they own units as a proportionate interest of the plan’s assets. 

Any input is appreciated.

Thank you

You need to ask your employer to get (possibly) the correct answer. But it is possible for a plan with "its own trust" to also invest some of its funds in a master trust though it would be highly unusual.

Query: why do you care?

[david rigby]

Might it show up on Schedule D of the Form 5500?

https://www.efast.dol.gov/portal/app/disseminatePublic?execution=e2s1