Search
 

12b-1 fees and the 401(k) plan sponsor

With the DOLs new Fee Disclosure Rule, plan sponsor ignorance is no longer tolerated.

By Chris Carosa | Updated on March 28, 2013

If a tree falls in the forest, does anyone hear it? If a fee stays hidden from a 401(k) plan sponsor, does it matter? In the past, it may not have. Today, as Fred Reish comments, it may (see “DOL Smacks 401k Adviser for 12b-1 Fiduciary Breach. Plan Sponsors Next?” FiduciaryNews.com, March 26, 2013). 

This may surprise many 401(k) plan sponsors – and may further open the doors to litigation against 401(k) service providers. We’ll have to wait for the next major downturn in the markets to find out for sure. Between now and then, what can diligent plan sponsors do to better protect themselves?

Complete your profile to continue reading and get FREE access to BenefitsPRO.com, part of your ALM digital membership.

Your access to unlimited BenefitsPRO.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical BenefitsPRO.com information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com

Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

BenefitsPRO

Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2024 ALM Global, LLC. All Rights Reserved.