Investment Line-Up Comparison Tool
The Importance of Fee Comparison
The Department of Labor has set a high standard for plan sponsors regarding the reasonableness of fees associated with qualified retirement plans. It is crucial that plan fiduciaries determine if the costs associated with corporate sponsored retirement plans are reasonable. A truly objective and high quality peer group comparison may be the most efficient and comprehensive approach for this responsibility. From this type of evaluation, a retirement plan advisor would clarify the value received by a plan sponsor with respect to their retirement plan. LPL Financial has partnered with Fiduciary Benchmarks Inc. to create a procedure and output that makes this process seamless and scalable.
The LPL Financial Fee & Analysis Evaluation
The LPL Financial Fee Comparison & Analysis Evaluation, powered by peer group data from Fiduciary Benchmarks, allows an advisor to quickly and simply compare plan fees along with value and design complexity against an appropriate peer group; in a format that plan sponsors can quickly read and understand. This four page report is integrated within the LPL Financail Fiduciary Monitoring Toolset, allowing an advisor to leverage plan data already entered into the system and drive efficiency and automation.
How it Works
The Fee Comparison & Analysis Evaluation uses a plan sponsor's existing plan data within the Fiduciary Monitoring System, combined with additional relevant statistics to create a comprehensive fee analysis report that includes an analysis on:
- Investment management fees
- Recordkeeping fees
- Advisor/Consultant fees
- Total plan fees
- Plan benefits & features
This comprehensive evaluation tool is yet another example of the LPL Financial commitment to provide a premier analysis and reporting tools that helps them to remain ahead of the curve in today’s complex retirement plan regulatory environment.