Remote Fiduciary Services

FiduciaryPlanReview.com provides a Turnkey Service designed to mitigate or eliminate fiduciary risk for plan sponsors and service providers.

• FPR evaluates and grades all funds offered by the plan sponsor
• Under ERISA Section 3(38), FPR manages all communication to the recordkeeper for any fund changes
• FPR offers a Warranty Certficiate, reinsured through Great American Insurance (AA rated)
• FPR offers very competitive pricing that accommodates plans with an existing advisor
• FPR offers an eFiduciary program for plans without an advisor to enhance recordkeeper retention for these "orphaned" cases

FPR’s institutional service offers a technology based solution to provide a remote advice program through an automated, turnkey, risk-shifting process designed to mitigate or eliminate investment management fiduciary risk for plan sponsors and service providers under ERISA Code Section 3(38). We use our software technology to cross-reference a plan’s current investments against pre-selected scoring criteria and investment policy statement requirements. These fiduciary services are provided in conjunction with our preferred recordkeepers.

FPR creates a single data link to transfer plan information seamlessly between FPR and the recordkeeper. This data is then uploaded into FPR's technology platform for electronically cross-referencing the plan’s funds with preset monitoring criteria and investment policy statement adherence to determine the appropriateness of the plan’s investment offerings. Each recordkeeper determines the frequency of the data downloads best suited for their systems; however, FPR requires they occur quarterly at a minimum.

Additionally, FPR's analysts internally monitor fund data on a daily basis. At any time, they can initiate an investment related change as needed without waiting for the specified download frequency. This allows for a reaction to any event that may negatively impact a funds scoring between scheduled downloads, thereby offering a higher level of investment due diligence.

All discrepancies that warrant an investment change are automatically converted into a discretionary trade/mapping request under ERISA Section 3(38) for replacement into an appropriate investment alternative. These requests are generated directly to the recordkeeper for execution under FPR's discretionary agreement with the plan sponsor.

Communication is provided electronically to the plan sponsor, account manager and plan advisor at a minimum quarterly, or as needed when actions are warranted between scheduled downloads. Fund/Mapping requests are included in the communication when changes are being made to the plan investments. An "all clear" communication is generated when there are no investment discrepancies noted. In either case, all parties are notified periodically for maintaining their fiduciary files.

Fiduciary warranties are issued by FPR through an exclusive policy arrangement with Great American Insurance Company (AA rated) under prescribed and fully disclosed liability limits. The warranty covers the investment due diligence process is followed as required under generally accepted fiduciary standards.

FPR maintains a call center for contact with the record keeper's plan account managers to field investment related questions they receive from plan sponsors regarding FPR communications and actions.

RESULTS FOR THIRD-PARTY ADMINISTRATORS

In addition to the benefits to plansponsors and recordkeepers, there are tremendous benefits for Third Party Administrators who offer FPRInstitutional's fiduciary services to their plansponsor clients.

Many TPAs rely on advisors for distribution of their services through their many Recordkeeper partners and/or their own Recordkeeping platform. As the legislative landscape changes, thereby placing their distribution partner’s into a prohibitive fiduciary position, the TPA can offer FPR’s e-fiduciary program as an additional value-added and cost effective solution. By offering the advisor, and subsequently their Broker-Dealer/RIA, a fiduciary risk shifting solution as part of the TPA service platform, the TPA is assured of a lasting relationship with these valuable distribution partners.

FPR becomes the investment management fiduciary under ERISA Section 3(38) through the service agreement between FPR and the plan sponsor. This allows a TPA to introduce FPR’s e-fiduciary services to plan’s without advisors, thereby protecting the plan sponsor from their investment management fiduciary liability without the presence of an advisor. Because of technology and scalability, the cost savings of FPR’s fiduciary services compared to traditional investment advisory services is tremendous. Many TPAs elect to offer our services under a master contract, which allows for a markup of FPRs services under custom pricing arrangements.

Through the use of FPR’s fiduciary risk shifting services, TPAs can truly expand their consulting services beyond the traditional scope at a highly efficient cost savings to the plan sponsor as well as provide additional revenue to the TPA. This represents a win-win for all parties, which passes straight through to the participants of these plans.

TPAs have long been on the pulse of their client's plans and earned the right to have the ability to offer a resource that allows them to take their practice to the next level of consulting.