Fiduciary Compliance
We are a Plan Fiduciary
Encore 401K, LLC operates as a Plan Fiduciary AND is a Registered Investment Adviser. Operating as a Fiduciary applies to ALL decisions & recommendations for ALL aspects & components of your plan, not just the investments. Being a Fiduciary is a way of serving our clients that is an overriding theme in everything we do - our North Star.
At Encore, we can operate in one of two different Fiduciary Compliance levels:
- Fiduciary Consulting - Non-Discretionary Services - Section 3(21)* see compliance disclosures
- Fiduciary Management - Discretionary Services - Section 3(38)** see compliance disclosures
See Investment Menu Engineering & Monitoring section for detailed Fiduciary services related to the selection & monitoring of funds.
Additional Compliance Services
- We help you establish a Retirement Plan Committee.
- ERISA Fiduciary Training
- Benchmarking & Due Diligence Review
- Fiduciary File Set-up
We are not on earth to see how important we can become, but to see how much of a difference we can make in the lives of others.
— Gordon B. Hinckley
Our Common-Sense Approach to Fiduciary Compliance
Operating as a Plan Fiduciary – should be common sense. Shouldn’t the plan sponsor & 401k Adviser always be making well informed, prudent decisions that are in the best interest of the ultimate clients - the plan participants & their beneficiaries? What’s the alternative?
Fiduciary Compliance is an important topic, but does NOT require all the noise & fear the industry gives it, especially in the small & mid-sized plan market.
Acting as a fiduciary is a “Noble Cause.” Making critically important decisions that impact people's lives. These decisions should not be compromised in any way, through conflicts of interest or other, always held at the highest standard and much more than just "suitable."
Under ERISA, there is an exhaustive and detailed list of the responsibilities of a fiduciary. In the spirit of the regulation, here are our 3 guiding principles:
1. Be Knowledgeable & Prudent AND make informed, smart decisions. “A big heart & an empty head is not enough”
2. Document what you intend to, how you execute and what you actually do.
3. Make decisions that are truly in the best interest of plan participants & their beneficiaries.
In summary – As a fiduciary, be a good person & do the necessary, smart work to show you genuinely care, AND always make decisions that are in the best interest of participants & their beneficiaries.
DID YOU KNOW?
50% of Employers are not getting the employee participation they want.
"Almost half of employers say they’re not satisfied with their current participation level. Nearly all are likely to take steps to improve participation in 2023." (Source - 2023 Hot Topics in Retirement and Financial Wellbeing - Alight Solutions.)
Our Employee Education and Enrollment Services
Are You Prepared for an Audit?
Would you be comfortable if your plan was audited by the Department Of Labor or challenged by a disgruntled employee? To help make sure your plan is buttoned up right, give the 401k Repairman a call at Encore.