5 Questions You Need to Ask to Avoid a Fiduciary Breach and Costly Prohibited Transactions
- Does the advisory firm accept fiduciary duty and willing to put it in writing?
- Is the firm registered with the SEC as an investment adviser? If so can they show you the Part II of Form ADV?
- Is the plan free of conflicts of interest and revenue sharing arrangements and unaffiliated with a broker-dealer?
- Do you know and have documented that the fees for the services provided are reasonable and is it in writing?
- Are you compensated on a fee only basis?
If you don't know or the answers to any of the questions above are no, you may be at risk for fiduciary breach and unknowingly devastating your employees retirement nest egg.
For more information on the DOL's recommendations please find the documents below.