Scorecards

The Challenge

The mutual fund and defined contribution plan industry have created a myriad of different products with a multitude of share classes with different expense ratios and revenue sharing relationships. With increased attention and scrutiny surrounding defined contribution plan fees and expenses and the Department of Labor's initiatives surrounding disclosure of such fees and expenses, many plan sponsors have sought to gain a better understanding of the fees and expenses charged to participants in defined contribution plans. Given the complexities of recordkeeping relationships, revenue sharing arrangements, and the multitude of share classes and fund structures, understanding the total fees paid and how they are allocated among providers can be difficult but critical to fulfilling a plan sponsor's fiduciary responsibility.

The Solution

The Rocaton Defined Contribution Fee and Expense Scorecard provides an analytical framework for decomposing ongoing expenses into their component parts. This Scorecard provides information regarding total ongoing expenses of the Plan, including recordkeeping fees paid from all sources, revenue sharing from investment options, and a comparison of individual investment option expenses versus peers.

The Rocaton Defined Contribution Fee and Expense Scorecard

Building upon our team's decades of experience in defined contribution plan consulting, the Rocaton Defined Contribution Fee and Expense Scorecard provides insight into the fees and expenses of defined contribution plans. Rocaton has evaluated fees associated with a wide variety of plans administered by the major recordkeeping organizations. The Rocaton Defined Contribution Fee and Expense Scorecard seeks to address many of the questions plan sponsors face as fiduciaries. What are the total ongoing expenses associated with the Plan? What is the true cost of recordkeeping? How do investment option fees compare to peers?

Click here for the official press release announcing the launch of the Rocaton Defined Contribution Fee and Expense Scorecard.

If you would like to learn about our Scorecard and how best to easily evaluate the fees you are paying, contact David Katz, Partner at 203-621-1717 or via email.