American Funds Introduces Multi-fund RK Tool

AmericanFunds rolled out a multi-fund version of its Recordkeeper Direct tool, with the goal of providing advisers more investment and pricing flexibility.
Reported by PLANADVISER staff

Recordkeeper Direct offers more than 80 investment choices from 20-plus investment managers in addition to the American Funds lineup.

The original Recordkeeper Direct was designed to handle the micro market, where a typical plan has less than than 20 participants and under $1 million in assets, according to Bill Anderson, director of retirement plan services at American Funds.

“With many plans, [the] sponsors and participants wind up paying more in recordkeeping fees each year as the assets in the plan increase,” Anderson said.

The multi-fund version is a tool for the $1 million to $20 million market, with recordkeeping fees based on a fee of $2,500 per plan and $50 per participant.

 

Tags
Recordkeepers, Retirement Plan Industry,
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