BR Co-Fiduciary Advisor 401(k) Service: In February 2008 the U.S. Supreme Court ruled employees can sue their employer to recover losses in their 401(k) account, resulting from a co-fiduciary breach.  Virtually all ERISA attorneys agree this recent ruling will lead to a substantial number of law suits by individuals who have lost money in a 401(k).  Is your company satisfying its role as co-fiduciary for your 401(k) or are you exposed to this serious liability?  Can you answer yes to ALL of these questions?:

Does your 401(k) have a written “Investment Policy”? If so, is it being reviewed and updated annually?

• Do you document your fund selection process?
• Are there periodic reports comparing investment performance against an index, peer group or Investment Policy statement objectives?
• Do you provide quarterly employee education about investing?
• Have you limited the percentage allocation employees can select in company stock?

If you answered NO to any of the above, chances are your company is vulnerable to litigation.  Bell Rock Capital can help your risk management on this issue and become your co-fiduciary and your “prudent practices” provider.  Many companies are starting to outsource this role to manage their economic risk of potential employee litigation.

At Bell Rock Capital our role as co-fiduciary is a bit different than other money managers.  With backgrounds as equity analysts and portfolio managers, our principals have provided mutual fund managers with investment ideas for decades.  So our due diligence process is more in depth than just screening and quantitative analysis.

If you have concerns about your company's exposure, don't ignore this risk.  We'd like to explore this outsourcing service with you further. Please call Jackie Reeves at 561-483-6314 or jackie@bellrockcapital.com to discuss your company's plan needs.