"[T]he proposed rule contains no grandfathering provision for existing QPAMs ... [E]xisting QPAMs that meet the current capital and/or AUM requirement, but which may not meet the amended requirements, may need to consider alternatives to the QPAM Exemption ... The costs, in time and money, to effect these changes, which could conceivably affect millions of discretionary investment management agreements, will be significant."  MORE >>

"The Proposed Amendment would place significant new limitations on the availability of the QPAM Exemption and would raise the risks imposed on asset managers who operate as QPAMs. The changes might cause asset managers to migrate to reliance on alternate forms of prohibited transaction relief[.]"  MORE >>

"Plan sponsors that missed the July 31, 2022, deadline may regain reliance on the preapproved document's opinion letter. According to the IRS, the plan must first be brought into compliance as an individually designed plan."  MORE >>

"[T]he Sixth Circuit has affirmed dismissal of a suit alleging overpayment of fees and improper use of actively managed funds.... [C]yberthieves managed another theft of plan assets from a plan administered by Alight.... A lawsuit seeking recovery of the stolen funds followed." [Smith v. CommonSpirit Health, No. 22-5964 (6th Cir. Jun. 21, 2022); Disberry v. Employee Relations Committee of the Colgate-Palmolive Company, Alight Solutions, LLC, and the Bank of New York Mellon Corporation, No. 22-5778 (S.D.N.Y. complaint filed Jul. 7, 2022)]  MORE >>

"Pension finance enjoyed a strong month in July due to rising stock markets. Both model plans ... gained ground last month: Plan A improved almost 2% and is now up 4% for the year, while the more conservative Plan B added 1% and is now down less than 1% through the first seven months of 2022."  MORE >>

"[By] virtue of favorable tax rules and early-withdrawal exceptions, a Roth IRA can serve as a backup vehicle for pursuing multiple savings goals, when necessary or with strategic planning.... The ideas presented in this article can help ease the inherent conflict among savings priorities for those who don't have enough financial bandwidth to save for multiple goals at once, but who want to set themselves up to have the most flexibility in their future choices."  MORE >>

"A recent brief by The Pew Charitable Trusts calculated the additional cost of retail shares and how much rolling an institutional 401(k) account to a retail IRA can cost investors in retirement. The amount is probably more than you think."  MORE >>

"Senate Bill 12 of 2019 made reforms, but TRS contributions will likely be insufficient because the pension plan is using outdated economic assumptions."  MORE >>

"TDFs are a good strategy while you are in the saving phase of your life. But they have a crucial weakness that stems from what financial economists call the fallacy of time diversification, or the flawed idea that the longer you invest in markets, the less risky they are."  MORE >>

"Victims of a water shortage and health impact from unprecedented sargassum seagrass influx on the island of St. Croix, U.S. Virgin Islands beginning July 15, 2022, now have until November 15, 2022, to file various individual and business tax returns and make tax payments[.]"  MORE >>

"There are certain key questions that an employee should consider before determining what benefits are the most beneficial for her.... Is she looking for a long or short-term benefit? Second, what level of risk is she willing to accept? ... It is crucial to do the research on what programs and incentives are out there, to learn what other competitors are offering, to understand the goals of the business, and to gain insight on the employer's financial capabilities and goals."  MORE >>