ABG has narrowed the vast mutual fund universe down to a manageable list of options so that advisers can choose a hand-selected, professionally managed option that is right for retirement plan clients’ specific needs. Each option includes risk-based asset-allocation strategies and target-date fund options.
Plan sponsors are looking for 3(38) investment management services, according to Bradley K. Arends, chief executive of ABGIS. The service allows advisers to offer the service through ABGIS in cases when they would be unable to offer it directly.
On the investment menu, ABGIS is the 3(38) investment manager, while the outside adviser maintains all client and participant contact responsibilities. According to Arends, the offering lets advisers add value and strengthen their service offerings through a partnership with a discretionary 3(38) investment manager.
The (k)Series options include:
(k)INDEX: Passively managed, cost-effective solution. These index mutual funds are selected to cover indices across all asset classes, emphasizing asset class exposure rather than fund management differentiation. A low-cost alternative covering 17 asset classes, (k)INDEX is designed to satisfy plan sponsors and participants seeking asset class coverage with low mutual fund expense ratios.
(k)ACTIVE: Actively managed approach. This fund line-up utilizes actively and passively managed retirement funds with revenue sharing to cover plan expenses. (k)ACTIVE is designed to satisfy sponsors and participants seeking revenue sharing mutual funds for fee offset purposes and asset class coverage through passively and actively managed mutual funds.
(k)ACTIVE+: Active, index and enhanced passive investment options. Institutionally priced, giving plan sponsors competitively priced low cost investment options PLUS a menu designed with a range of asset allocation approaches for a variety of participant risk levels. (k)ACTIVE+ is designed to satisfy plan sponsors and participants seeking high-performing, low-cost mutual fund options including enhanced passive investments.
(k)EXCHANGE: Cutting-edge 401(k) fund options. Developed for innovators and early adopters, this option offers an ETF line up as a progressive alternative to the standard mutual fund options most retirement plans run on today. (k)EXCHANGE takes low-cost alternatives to the next level, designed for plan sponsors and participants seeking a pre-selected menu of ETFs covering 17 asset classes.
Investment advisory services are offered through ABG Investment Services, a registered investment adviser. The (k)Series is a service of, and maintained by, ABG. The firm is part of a national network of independently owned employee benefits administration and consulting firms.