The corporate retirement plan offering provides access to over 800 ETFs covering a wide variety of asset classes and investment styles. The all-in annual fees of the plan are projected to be slightly less than 1%. The firms say this represents a substantial savings opportunity for plans and participants who can pay as much as 2.5% of assets annually in fees under more traditional 401(k) arrangements.
In addition to the competitive fee structure of ETFs, the plan features custom portfolio modeling, on-site investment education support and benefits integration assistance.
“ETFs have soared in popularity over past few decades,” says Duncan Rolph, managing director of Miracle Mile Advisors. “Miracle Mile Advisors has long recognized that diversified index ETFs with lower fees deliver better results than higher-cost mutual funds with underperforming portfolio managers.”
The new offering is similar to an all-ETF platform launched earlier this year by Charles Schwab Retirement Plan Services (see “Schwab Introduces All-ETF 401(k) Platform”). A discussion of the potential pros and cons of all-ETF 401(k) platforms is available here.