AD, Yes, If you read the Fred Reish article, Fred list four (4) primary tools to mitigate risk for investment related losses in participant accounts: #1 QDIA, #2 Participant investment advice, #3 404(c) compliance, and #4 Section 3(38) advisor. 401k SAFE covers all that Fred Reish mentions above. For example: We have Stadion taking care of #1 & #2. We are in compliance with #3 by the processes we have in place and with Ibbotson, we have the 3(38) investment advisor role covered. In addition, amsource is a full scope 3(21) advisor that has delegated the investment monitoring process to the 3(38) advisor. Hope this helps!
http://www.reish.com/publications/article_detail.cfm?ARTICLEID=867
Alan Ridgway
Senior Partner
amsource 401k SAFE
1608 13th Avenue South
Suite 200
Birmingham, AL 35205
1-888-401k-SAFE (1.888.401.5723)
Cell: 205.914.8412
www.amsource.net
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From: AD Financial Advisor, AIF
Sent: Wednesday, January 13, 2010 10:03 AM
To: Alan Ridgway
Subject: Follow up Question re 401k SAFE
Alan, I wanted to follow up on a specific question. Will 401k SAFE take on serving as the fiduciary under section 3(38) of ERISA and state that in writing?
Regards,
AD, AIF®
Group Retirement Plans