25 Juin 3(38) compared to. 3(21) capital fiduciary characteristics: the pros and cons for 401(k) advisors
Just like the litigation focusing on 401(k) plan sponsors features proliferated and you can hype around the Department out-of Labor's fiduciary signal goes on strengthening, interest in funding fiduciary functions has exploded certainly companies, and you may advisers provides advanced to meet the newest demand.
However, discover various other variants off fiduciary characteristics, per using their respective positives and negatives having old age bundle advisors and their subscribers.
The services fall into several camps: 3(21) and you will step 3(38), hence consider particular sections of the brand new Staff Retirement Money Safety Operate out of 1974.
An effective 3(21) resource agent is an effective co-fiduciary role, for which an agent provides guidance so you're able to an employer with regards to money on a beneficial 401(k) money selection, and the company holds brand new discretion to simply accept or deny new information.