Principal Rolls Out Changes to Meet Disclosure Requirements

The Principal Financial Group announced it has made the necessary adjustments for advisers and plan sponsors to comply with new retirement plan fee disclosure regulations.

Some of the changes made by The Principal for financial professionals to meet requirements include:

  • A redesigned and streamlined summary of fees based on feedback from plan sponsors and financial professionals
  • An interactive services Web page that helps plan sponsors review at-a-glance services available and used by the plan
  • An online disclosure landing page where plan sponsors can find the required information in one place

The Principal has also developed resources to make it easier for plan sponsors to make required disclosures to participants including: 

  • Additional fee, plan and investment information in enrollment kits beginning in the fall; 
  • New annual notices about plan fees and investments available for plan sponsors to deliver to participants beginning in November; 
  • A new easy-to-understand investment comparison chart; and 
  • Modifications to the participant Web site and quarterly participant statements to display fees in dollars. 

The Principal has been offering education and information since the regulations were unveiled, including a dedicated online resource center at; two white papers authored by ERISA expert Jamey Delaplane of Davis & Harman, LLP; and webinars for financial professionals and plan sponsors. The firm said it will add additional resources to help financial professionals and plan sponsors as they implement the new disclosures.   

The tools will become available in August, five months ahead of the January 1, 2012, deadline (see “EBSA Sets New 408(b)(2) Deadline for January 2012“).