The Services Available to Your 401(k) Plan

Transcription

1 The Services Available to Your 401(k) Plan The Peachtree Group at Morgan Stanley Smith Barney Experience and Guidance That Make A Difference

2 By offering your employees a retirement plan, you are providing them with the opportunity to save for a secure retirement. You play a fundamental role in managing this essential employee benefit and it is important that you understand your obligations as the plan s fiduciary.

3 According to the Employee Retirement Income Security Act of 1974 (ERISA), fiduciaries of 401(k) plans must carry out their duties prudently and act in the best interest of plan participants. Fiduciary responsibilities can include: choosing a provider to administer the plan, selecting an appropriate menu of investments and monitoring such providers and investments on an ongoing basis. It has been said that ERISA s prudence standard is one of the highest duties known to the law. Fulfillment of fiduciary duties will generally be measured by the steps a fiduciary takes to meet its obligations and whether a fiduciary has made informed and reasoned decisions. In fact, the Department of Labor and the courts have taken the position that fiduciaries without the knowledge or experience to make sound decisions have a duty to seek expert assistance. For example, when making investment decisions, a fiduciary who lacks investment experience should hire an investment specialist. For many plan sponsors, investment and other fiduciary responsibilities can seem overwhelming. That s where we can help. We can provide guidance and information to help you meet your fiduciary responsibilities. We know you re busy managing your business and that you may not have the experience or the time to do the necessary research to make the right decisions. We have the tools and expertise to help you make informed investment decisions as well as address your other plan responsibilities. You can feel confident knowing that Morgan Stanley Smith Barney is committed to putting our resources and experience to work for your retirement plan. MORGAN STANLEY SMITH BARNEY/3

4 Upon request, we can offer any of the following services to your retirement plan. Evaluation Needs Assessment Plan Participation Enrollment Meeting Participant Education Strategic Enhancements Provider Search The Peachtree group Investment Monitoring Fiduciary Audit File Issue Resolution Investment Policy Statement Investment Services Investment Management Plan Management 4/MORGAN STANLEY SMITH BARNEY

5 Evaluation NEEDS ASSESSMENT To derive the maximum benefit from your retirement plan, it is important to select the most appropriate features and services for your business. As your Financial Advisors, we can offer valuable guidance by identifying and evaluating your company s needs. Examine the history of your business and goals for your plan Review your retirement plan objectives Analyze the demographics and investment behavior of your employees PROVIDER SEARCH There are a variety of factors to consider when evaluating the capabilities of providers, including record keeping, communications, investment flexibility, compliance, fees and services. As your Financial Advisors, we can work with you to identify the provider that best suits your company s needs. Solicit and evaluate proposals from a variety of providers Invite select providers to present their programs Assist you in the review of proposals to ensure the program chosen is an effective strategy MORGAN STANLEY SMITH BARNEY/5

6 Investment Management INVESTMENT POLICY STATEMENT An investment policy statement clearly defines plan goals and investment parameters and provides the plan investment committee with guidelines for investment management decisions. It is also an effective way to ensure your investments are meeting your plan objectives on an ongoing basis. As your Financial Advisors, we can help you develop this important document. Provide a sample investment policy statement Help identify specific goals Assist in selecting a broad range of asset classes to be represented in your retirement plan Identify investment parameters to help measure success Establish a process to periodically review plan investments against stated goals INVESTMENT SERVICES As your Financial Advisors, we have the ability to help you select the appropriate range of potential investment options to meet your plan s specific needs. Educate on general investment concepts such as diversification, risk, asset allocation and historical rates of return Identify multiple investments within each asset class from the provider s fund universe that are consistent with your plan s investment policy statement Help ensure that the funds meet the requirements of Section 404(c) of ERISA 6/MORGAN STANLEY SMITH BARNEY

7 Plan Management INVESTMENT MONITORING While selecting appropriate investments is critical to the success of your plan, monitoring each investment option is just as important. The criteria you use to monitor your investment options should be consistent with the goals outlined in your investment policy statement. As your Financial Advisors, we can provide the tools and guidance to help you maintain an appropriate range of investment options within your plan. Review periodic reports to help you monitor the plan s investment performance conduct searches to replace investment options that are no longer consistent with the plan s investment policy statement Provide investment education and research to encourage sound decision-making ISSUE RESOLUTION While the ongoing maintenance of your plan is important, we understand that it is not your only responsibility. As your Financial Advisors, we can help you resolve issues that arise in connection with the day-to-day activity of your plan. Interface with your plan provider to address your questions Seek corrective action for any deficiencies in service Provide ongoing support FIDUCIARY AUDIT FILE One of the best ways to demonstrate compliance with the appropriate standards under ERISA is through adequate written documentation. This can be compelling evidence of an adherence to a prudent process and an effective argument against allegations of a fiduciary breach. As your Financial Advisors, we can help you establish a fiduciary audit file. Organize key plan records Help identify areas requiring further development Demonstrate that policies and procedures were established Document adherence to those policies and procedures MORGAN STANLEY SMITH BARNEY/7

8 Plan Participation Enrollment Meetings & Participant Education Participation is vital to the success of any plan and a strong participant education program contributes to this success. Now more than ever, investors are looking for assistance in reaching their financial goals. As your Financial Advisors, we can help your employees make informed decisions by educating them on the features of their plan and basic retirement planning concepts. Explain your plan s features Review the importance of diversification and other asset allocation strategies Reinforce the benefits of participation and increasing contributions Encourage the use of retirement planning strategies Strategic Enhancements While a good education program is important, it may not always help to ensure a successful plan. If you are concerned about low participation rates, low deferral rates and whether your employees are properly diversified, as your Financial Advisors, we can introduce strategies with the potential to improve the health of your plan. Review plan demographics and asset allocation to identify areas for improvement Recommend appropriate strategies including automatic enrollment, automatic deferral increases and default investment options Help you monitor the impact of the strategies you choose to implement Investment Seminars & Re-Enrollment Meetings One of the best ways to encourage your employees to maximize the benefit of their retirement plan is through in-person meetings and seminars. As your Financial Advisors, we can provide continuing education for your existing employees and enrollment meetings for new employees. Reinforce concepts presented in initial enrollment meetings Offer programs to further employees understanding of financial markets and personal financial planning strategies Assist retiring employees with retirement plan distribution strategies 8/MORGAN STANLEY SMITH BARNEY

9 Meet Your Management Team Brian Moore Director Wealth Management Corportate Client Group Director Senior Institutional Consultant Brian Moore is a Director Wealth Management, Corporate Client Group Director with Morgan Stanley Smith Barney and Senior Institutional Consultant and 401(k) Consulting Group Director/ Financial Advisor with Morgan Stanley Smith Barney s Consulting Group. Mr. Moore has obtained the professional designations of Accredited Investment Fiduciary (AIF ) and PLANSPONSOR Retirement Professional (PRP ) and has been recognized as one of Registered Representatives magazine Top 100 Financial Advisors*. Mr. Moore joined Morgan Stanley Smith Barney and its predecessors in 1989 with prior experience at Paine Webber and Super Valu, Inc. in financial management. The Corporate Client Group is recognized for providing corporations and their executives with support in the areas of retirement and deferred compensation plans, employee stock plans, control & restricted securities, financial planning, and fee based portfolio management. Mr. Moore is currently a member of the National Association of Stock Plan Professionals (NASPP), the Association of Professional Investment Consultants (APIC), Investment Management Consultants Association (IMCA) and Morgan Stanley Smith Barney s Chairman s Club. Mr. Moore graduated from Wright State University with a Bachelor of Science degree in Finance and a Master in Business Administration (MBA) degree. Andrew Harbour Senior Vice President Wealth Management Senior Portfolio Manager Andrew Harbour is a Senior Vice President Wealth Management, and a Senior Portfolio Manager with The Peachtree Group at Morgan Stanley Smith Barney in Atlanta, Georgia. Mr. Harbour is also a CERTIFIED FINANCIAL PLANNER professional (CFP), a Certified Investment Management Analyst (CIMA) and a Chartered Retirement Plan Specialist (CRPS). Mr. Harbour has been recognized as one of Registered Representative magazine Top 100 Financial Advisors*. Mr. Harbour joined Morgan Stanley Smith Barney and its predecessors in 1995 and with The Peachtree Group is focused on supporting corporations with benefit programs and executives with financial planning and portfolio management. Mr. Harbour is an adjunct instructor in the University of Georgia s Terry College Executive Program. Mr. Harbour is a member of the Financial MORGAN STANLEY SMITH BARNEY/9

10 Planning Association (FPA), the National Association of Stock Plan Professionals (NASPP), the Investment Management Consultants Association (IMCA) and Morgan Stanley Smith Barney s Chairman s Council. Mr. Harbour is an Atlanta native and graduated from Taylor University with a Bachelor of Science degree in Business. Chris Moseley Relationship Manager Chris Moseley is a Relationship Manager with The Peachtree Group at Morgan Stanley Smith Barney in Atlanta, Georgia. Mr. Moseley holds the Chartered Retirement Plan Specialist (CRPS) designation and has been with Morgan Stanley Smith Barney and its predecessors since Mr. Moseley has prior industry experience at Bear Stearns and Invesco. Mr. Moseley focuses on consulting with corporations regarding their Defined Benefit and Defined Contribution plans as well as working with foundations and endowments. Mr. Moseley graduated from the University of Georgia with a Bachelor of Arts degree in Economics and received his Masters in Business Administration degree from Georgia State University. John Skinner Consulting Group Analyst Financial Planning Associate John Skinner is a Consulting Group Analyst and Financial Planning Associate for The Peachtree Group at Morgan Stanley Smith Barney in Atlanta, Georgia. Mr. Skinner joined Morgan Stanley Smith Barney and its predecessors in 2003, with prior experience with Fifth Third Securities in Cincinnati, OH. Mr. Skinner focuses on investment manager analysis and performance reporting. Mr. Skinner graduated with a Bachelor of Arts from Furman University in Greenville, SC. Cassie Moore Financial Advisor Financial Planning Specialist Cassie Moore is a Financial Advisor and Financial Planning Specialist with The Peachtree Group at Morgan Stanley Smith Barney in Atlanta, Georgia. Originally joining Morgan Stanley Smith Barney and its predecessors in 2000 as a Registered Associate; she now focuses her efforts in working with corporate retirement plans and executives in the area of wealth management. Mrs. Moore s practice is structured to provide total wealth management strategies and comprehensive financial planning to individuals and their families, helping to guide them through complex transition periods in their personal and professional life. Ms. Moore graduated from Auburn University with a Bachelor of Science degree in Finance. Ellen Houck Group Administrator Ellen Houck is the Group Administrator for The Peachtree Group at Morgan Stanley Smith Barney in Atlanta, Georgia. Mrs. Houck joined Morgan Stanley Smith Barney and its predecessors in 1978 and served in Branch Operations Management before joining the Corporate Client Group Mrs. Houck graduated from Auburn University with a Bachelors of Science degree in Office Administration. *Registered Representative s Top 100 bases its rankings exclusively on quantitative criteria: assets under management, size of the book and an acceptable compliance record. Nominations are not accepted. The rating is not indicative of the advisor s future performance. Morgan Stanley Smith Barney does not pay a fee to Registered Representative in exchange for the rating. 10/MORGAN STANLEY SMITH BARNEY

11 Morgan Stanley Smith Barney is dedicated to making your retirement plan a success and, at the same time, helping you meet your fiduciary responsibilities. To deliver the retirement plan you and your employees deserve, contact us today. Upon request, Morgan Stanley Smith Barney can offer any of the following services to your plan: Evaluation Needs Assessment Provider Search Investment Management Investment Policy Statement Investment Services Plan Management Investment Monitoring Fiduciary Audit File Issue Resolution Plan Participation Enrollment Meetings & Participant Education Strategic Enhancements Investment Seminars & Re-Enrollment Meetings Additional Services Investment and Benefit Consulting - Defined Contribution Plans - Defined Benefit Plans Non-Qualified Deferred Compensation Plans Stock Plan Services Self-Directed Brokerage Accounts Wealth Management

12 The Peachtree Group at Morgan Stanley Smith Barney 3280 Peachtree Road Northeast 19th Floor Atlanta, GA Telephone: Toll-Free: Facsimile: Web site: fa.smithbarney.com/thepeachtreegroupsb Unless you are otherwise advised in writing, Morgan Stanley Smith Barney is acting as a broker-dealer and not as an investment advisor. Morgan Stanley Smith Barney LLC and its affiliates do not provide tax or legal advice. To the extent that this material or any attachment concerns tax matters, it is not intended to be used and cannot be used by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Any such taxpayer should seek advice based on the taxpayer s particular circumstances from an independent tax advisor Morgan Stanley Smith Barney LLC. Member SIPC /10