Plaintiffs sued BlackRock Institutional Trust Co. in 2017, alleging that the firm engaged in self-dealing and breached its fiduciary duty by including numerous in-house products on the plan menu.
The TDA Retirement Plan will be closed to new clients at the start of next month, with business instead going to Schwab’s Retirement Network for Advisors, a company spokesperson said in a statement.
In an industry dominated by men, women said they faced challenges early in their careers to prove themselves.
Eight of nine big defined-contribution record keepers either already offer emergency savings programs or are planning to, according to a Commonwealth report. Two — Prudential and Voya — provide those services as an in-plan option.
Defined-contribution plans like 401(k)s have all but replaced pension plans, although many plan providers and insurance companies are aiming to make the former more like the latter. The latest step has been to include guaranteed income options in 401(k)s, a development that will soon be tested in the market.
Assets in those investments surpassed $1 trillion last year, reaching about $1.18 trillion, compared with $1.57 trillion in target-date mutual funds.
The program would apply to businesses with as few as five employees, requiring companies to participate and automatically enroll workers, unless they already provide retirement plans.
Of the roughly 70 million U.S. households with primary breadwinners younger than 55, 11.5 million are planning to retire by that age, according to a report from Hearts & Wallets.
The GAO concluded that plan sponsors, record keepers and others have little to go on as far as guidelines from the Department of Labor and that it isn’t clear whether fiduciaries have the responsibility to minimize cybersecurity risks.
Annuities are one of the leading recommendations for near retirees who are concerned about running out of money. But they are also poorly understood by many consumers, and that puts people at risk for being sold inappropriate products in amounts that represent an outsize proportion of their savings.
