Labor Department officials believe Fidelity Investments’s plan to allow investors to put bitcoin in their 401(k) accounts risks the retirement security of Americans, a senior administrator said. “We have grave concerns with what Fidelity has done,” Ali Khawar, acting assistant secretary of the Employee Benefits Security Administration, said in an interview with The Wall Street… Continue reading DOL Criticizes Fidelity’s Plan to Put Bitcoin on 401(k) Menu
Tag: 401(k)
Fidelity to Allow Retirement Savers to Put Bitcoin in 401(k) Accounts
Fidelity Investments will be the first major retirement-plan provider to allow investors to include a bitcoin account in their 401(k). Employees won’t be able to start adding cryptocurrencies to their retirement accounts right away, but later this year, the 23,000 companies that use Fidelity to manage their retirement plans will have the option to include… Continue reading Fidelity to Allow Retirement Savers to Put Bitcoin in 401(k) Accounts
DOL Holds Off Enforcement of ESG Rule for 401(k)s
The U.S. Department of Labor said Wednesday it won’t be enforcing a Trump-era rule that makes it tougher for 401(k) plans to invest in socially minded funds. The agency is reviewing a rule finalized in the fall that prevented corporate 401(k) plans from using funds with nonfinancial goals as default investments for employees. This rule… Continue reading DOL Holds Off Enforcement of ESG Rule for 401(k)s
Fiduciary Liability Insurance Premiums Are Soaring
A new report in Investment News should be an eyeopener for sponsors of 401(k) and 403(b) plans who haven’t yet gotten the message that even responsible fiduciaries can be sued. I previously wrote that 2020 promises to be a banner year for 401(k) plan litigation. Now Investment News reports that fiduciary liability insurance premiums are… Continue reading Fiduciary Liability Insurance Premiums Are Soaring
Most Americans Didn’t Opt to Raid 401(k) Amid COVID
Despite the financial toll of the coronavirus pandemic, few American households have raided their retirement accounts to make ends meet. Faced with the prospect of surging unemployment and a declining economy, Congress in March passed a law that temporarily allows Americans to use their retirement money today. But so far, there hasn’t been a rush… Continue reading Most Americans Didn’t Opt to Raid 401(k) Amid COVID
Fiduciaries of Employer-Sponsored Retirement Plans Face Litigation Surge: Chubb
Chubb released a new whitepaper exploring the surge in litigation against fiduciaries of employer-sponsored retirement plans, regardless of size. The paper, “The War on Retirement Fees: Is Anyone Safe?” was co-authored by Groom Law Group and examines the recent history and trends relating to excessive fee claims. The paper also discusses the plan features that… Continue reading Fiduciaries of Employer-Sponsored Retirement Plans Face Litigation Surge: Chubb
Hub International Acquires York-based EPIC Retirement Services Consulting, LLC
Hub International Limited (Hub), a leading global insurance brokerage, announced today that it has acquired the assets of EPIC Retirement Services Consulting, LLC (EPIC). Terms of the transaction were not disclosed. Located in New York City, New York, EPIC is an independent investment consulting firm specializing in 401(k), 403(b) and pension plans. EPIC has been… Continue reading Hub International Acquires York-based EPIC Retirement Services Consulting, LLC
Many Workers Increasingly Suing Employers Over 401(k) Plans
You would think most investors are fairly happy with their results,10 years into a rising stock market and with solid gains delivered by bonds, too. But that apparently isn’t the case at a lot of 401(k) workplace retirement plans. Unhappiness over high fees, inappropriate investment options and other issues have led to a spike in… Continue reading Many Workers Increasingly Suing Employers Over 401(k) Plans
Labor Department Makes Public 401(k) Rule Change
The Labor Department released a final rule to make it easier for small businesses to band together to create joint 401(k) retirement plans for workers. The rule, which takes effect Sept. 30, broadens the ways companies could join together to offer retirement accounts, according to a department official. Under the rule released Monday, companies in… Continue reading Labor Department Makes Public 401(k) Rule Change
Labor Department Clears Path for Automatic 401(k) Transfers
Companies could start automatically transferring small retirement accounts belonging to employees who change jobs to the 401(k) plans of their new employers, according to new guidance from regulators. The move is the latest effort to reduce the premature flow of money out of 401(k)-style plans. A pair of recent Labor Department actions would give Retirement… Continue reading Labor Department Clears Path for Automatic 401(k) Transfers