If you have any 401(k) secrets you haven’t disclosed to participants, spill them now. Following up on Department of Labor's recently released ERISA Section 408(b)(2) interim final regulation on
Under a proposal from the Employee Benefits Security Administration, plan sponsors would have to disclose the fund’s asset allocation; how that allocation changes over time, with a graphic illustration; the significance of the investment’s target date and a statement that the investment has the risk of losing money, even close to retirement.
“Based on our collaborative examination of this issue with the Securities and Exchange Commission, it is clear that all participants in participant-directed individual account plans can benefit from better information about how target-date investments are designed to meet their retirement savings needs,” said Assistant Secretary of Labor for EBSA Phyllis C. Borzi.
What do you think? Is this level of disclosure reasonable and appropriate? Is there such a thing as too much disclosure? Share your thoughts in the comments.
