401(k) Advisors
Fiduciary services
PGW Financial LLC offers ERISA Section 3(21) investment advisory fiduciary services only. PGW provides fiduciary investment advice and recommendations; the plan sponsor or other authorized plan fiduciaries retain decision-making authority for plan investments. PGW does not provide ERISA Section 3(38) discretionary investment management. Specific responsibilities are defined by the written engagement.
Understanding the role
Plan sponsors and certain individuals who exercise discretion over a plan have responsibilities under federal law, including acting prudently and solely in participants’ interests. The Department of Labor publishes plain-language material on these duties.
Hiring a consultant does not remove the sponsor’s responsibilities. It can help the sponsor make better-informed, better-documented decisions.
How support can look
Providing fiduciary investment advice and recommendations within the written engagement, preparing for committee meetings, organizing documents, and helping document what was considered. The plan sponsor or other authorized plan fiduciaries decide whether to implement investment recommendations.
Scope of the engagement
PGW’s responsibilities are limited to the investment advisory services specified in the written engagement. PGW does not assume all plan fiduciary responsibilities or independently control plan investment selections. The plan sponsor or other authorized plan fiduciaries retain investment decisions and their applicable fiduciary obligations. No lower fees, better returns or compliance outcome is promised.
The specific services and responsibilities for a plan are defined in its written engagement.
Questions worth asking
- 01Who is named as a fiduciary for the plan?
- 02Do we have a written process for choosing and monitoring investments and providers?
- 03Where are meeting records kept?
- 04Is there a fidelity bond and have we confirmed its coverage?
Limits and risks
PGW’s responsibilities are limited to the investment advisory services specified in the written engagement. PGW does not assume all plan fiduciary responsibilities or independently control plan investment selections. The plan sponsor or other authorized plan fiduciaries retain investment decisions and their applicable fiduciary obligations. No lower fees, better returns or compliance outcome is promised.
Related article: Plan fiduciary basics for small business owners
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