Best Practices for Investment Committees

ISBN-13: 9781592803095 / Angielski / Miękka / 2007 / 128 str.

Rocco Dibruno

Opis

An indispensable guide to avoiding the legal and financial pitfalls and of retirement plan investment

While it has always been true that a well-staffed and managed investment committee is key to the success of a corporate retirement plan, in today's increasingly complex and litigious world it is also a matter of survival. But what constitutes a prudent investment committee selection and operating process? How should a committee be selected and governed? How much reliance should a committee place on outside consultants? Written by an author with extensive, in-the-trenches experience, this book provides complete answers to these and all vital questions concerning the creation, staffing and management of a highly-adept investment committee, along with expert advice and guidance on serving on an investment committee and ensuring that your 401(K) investment program is sound, efficient and in complete compliance.

• Offers expert advice and guidance on how to serve successfully on an investment committee, facilitate effective management, design and implement a robust investment policy and much more
• Packed with sample documents, forms, templates, checklists, diagrams and other valuable, ready-to-use resources
• Features numerous real-world examples drawn from the author's years of experience as an accredited investment

An indispensable guide to avoiding the legal and financial pitfalls and of retirement plan investment While it has always been true that a well–staffed and managed investment committee is key to the success of a corporate retirement plan, in today’s increasingly complex and litigious world it is also a matter of survival.

Spis treści

FOREWORD vii

INTRODUCTION ix

ABOUT THE AUTHOR xi

CHAPTER 1: Why You Need a 401(k) Investment Committee 1

CHAPTER 2: Forming an Investment Committee 9

CHAPTER 3: Investment Committee Meetings 17

CHAPTER 4: Importance of Investment Policy 25

CHAPTER 5: Complying with Erisa Section 404(c) 31

CHAPTER 6: Selecting, Monitoring and Replacing Investment Managers 37

CHAPTER 7: Employer Stock in the 401(k) Plan 47

CHAPTER 8: Hiring a Pension Consultant 51

CHAPTER 9: Fiduciary Liability Insurance 61

CHAPTER 10: Understanding Investment Expenses & Fees 67

APPENDIX 1: Investment Option Evaluation Form 79

APPENDIX 2: Investment Committee Meeting Minutes 81

APPENDIX 3: Fiduciary Acknowledgment Letter 83

APPENDIX 4: By–laws and Operating Procedures for the Investment Committee 85

APPENDIX 5: Fiduciary Audit Checklist 91

APPENDIX 6: Glossary 95

APPENDIX 7: Resources 107

O autorze

Founded in 1982 and headquartered in Santa Fe, New Mexico, Thornburg Investment Management advises a range of active investment strategies, each offered through multiple vehicles to serve a broad spectrum of client needs worldwide. Our goals are to provide attractive returns through active portfolio management and to help clients reach their long–term financial goals. From short–term fixed income to flexible global equity, we focus on the fundamentals, invest for the long term, and go wherever we see value.

Blurb

Harness the power of the 401(k) investment committee to guard against financial liability and streamline your investment program

In today′s complex, increasingly–litigious world, you must ensure that your investment decision process is sound and efficient. A well–managed investment committee is the key to survival and success.

Packed with numerous resources and examples, this clear guide will help you avoid legal and financial pitfalls and find answers to critical questions:

• What constitutes a prudent committee selection and operation process?
• How should a committee be governed?
• How much reliance should a committee place on outside consultants?
• How should committee members be selected?
• How are best practices articulated and implemented?

You will learn to:

• Serve successfully on an investment committee
• Enable effective management
• Implement a robust investment policy

An adept investment committee helps you identify crucial issues and get the job done right.