- Have you given each of your prospective service providers complete and identical information with regard to your plan?
- Do you know what features you want to provide (e.g., loans, number of investment options, types of investments, Internet trading)?
- Have you decided which fees and expenses you, as plan sponsor, will pay, which your employees will pay, and/or which you will share?
- Do you know which fees and expenses are charged directly to the plan and which are deducted from investment returns?
- Do you know what services are covered under the base fee and what services incur an extra charge? Do you know what the fees are for extra or customized services?
- Do you understand that some investment options have higher fees than others because of the nature of the investment?
- Does the prospective service arrangement have any restrictions, such as charges for early termination of your relationship with the provider?
- Does the prospective arrangement assist your employees in making informed investment decisions for their individual accounts (e.g., providing investment education, information on fees, and the like) and how are you charged for this service?
- Have you considered asking potential providers to present uniform fee information that includes all fees charged?
- What information will you receive on a regular basis from the prospective provider so that you can monitor the provision of services and the investments that you select and make changes, if necessary? For Investment Management Services, click here
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