"[T]he new rules also leave several unanswered questions and have created some additional uncertainty for plan sponsors and fiduciaries. [This post explores] certain overpayment situations that plan fiduciaries are grappling with under the new rules and discuss how fiduciaries may wish to approach these situations in the absence of additional guidance."  MORE >>

"[T]he ESG label could distract many from the significance of the current DOL regulations for 401(k) fiduciaries. In truth, they clarify what's truly important when selecting 401(k) investments: evaluating risk-return factors, including investment fees. They treat ESG factors as a minor or collateral consideration."  MORE >>

"Inextricably linked with governance and compliance, risk management depends on critical decision-making criteria that are proven to produce safer and better-performing EBPs.... In order to develop and maintain an EBP risk management framework, it is essential to know the parameters the enterprise's board or governing authority established in each of the three vital decision- making criteria of risk tolerance, risk appetite, and risk capacity."  MORE >>

115 pages. "[Despite] significant uncertainty, ... participants generally remained resilient in 2022. While there were a few areas that signaled a possible uptick in financial stress, overall, participants' behavior in retirement plans remained in line with previous years, and most continue to maintain a long-term view."  MORE >>

"In-plan guaranteed retirement income options are much discussed, but less often implemented. Here are resources for evaluating and implementing the insured in-plan option."  MORE >>

"Through a close examination of the literature and a quantitative analysis using BlackRock's proprietary life cycle model, this paper presents [a] framework to help individuals determine how they can generate adequate income from their accumulated assets.... [A] few steps -- adding guaranteed income, adjusting asset allocation over time, and delaying one's retirement date -- can potentially generate more retirement income and decrease risk."  MORE >>

"[T]here are two types of section 457(b) retirement plans -- governmental plans for state and local municipal workers, and 'top hat' plans for highly-paid and managerial employees of tax-exempt employers like hospitals.... [T]he two types of plans are different in several important ways. One of the major differences has to do with rollovers."  MORE >>

"[The suit] alleges that, 'among other things, Defendants paid over 86% premium per-participant for Total RKA fees ... to the Plan recordkeeper ... during the Class Period.' The plaintiff here further argues that 'defendants should have lowered its Total RKA expenses by soliciting bids from competing providers and using its massive size and correspondent bargaining power to negotiate for fee rebates, but it did not do so or did so ineffectively.' " [Miller v. Pfizer Inc., No. 23-0594 (W.D. Mich. complaint filed Jun. 8, 2023)]  MORE >>

"AI technologies allow companies to automate repetitive processes, interact with plan participants more efficiently and analyze their plan-related data more effectively.... Language processing applications like ChatGPT and Bard have received recent publicity because of that technology's ability to provide well-organized responses in plain English. Those capabilities can work well in participant-facing applications, where inquiries often follow identifiable paths."  MORE >>

"The Republican Study Committee, a group of 175 House Republicans, released its plan ... to slash fiscal spending ... Among the suggestions is raising the age at which individuals can begin claiming their full Social Security retirement benefits from age 67 to 69.... The last major Social Security reform occurred in 1983 and gradually raised the age to 67, effectively cutting benefits by 13%,[.]"  MORE >>

"Both the final Biden Rule and the final Trump Rule make it very clear that a fiduciary cannot make an investment decision for any other purpose. The Biden Rule says ESG factors can be considered only to the extent that they are relevant to a risk-return analysis, not as collateral benefits. The Trump Rule effectively reaches the same conclusion, but states it in the negative -- ESG factors must not be considered to the extent they are not a 'pecuniary factor.' So why are the Trump and Biden Rules generally perceived as being inconsistent with one another?"  MORE >>