Hot off the Presses

PLAN SPONSOR & PARTICIPANT TOOLS

PenChecks developed the PenChecks Automated Solution for Abandoned Plans (ASAP). Partnering with third-party administrators (TPAs), PenChecks will contact any QTA (qualified termination administrator) institution holding retirement funds to determine the best ASAP solution to wind down abandoned plans and reduce their fiduciary liabilities.

Corporate Compensation Plans Inc. (CCP) introduced an insurance program for nonqualified deferred compensation plan benefits. The plan has three components: a disability plan; a long-term care plan; and a component that will convert income- and estate-taxable deferred compensation survivorship benefits into income-tax-free and estate-tax-exempt life insurance.

Great-West Retirement Services introduced Easy Start 401(k), a product targeted to businesses that do not currently offer a 401(k) plan. To get started, businesses with at least five employees decide who is eligible, whether the company will match contributions, and how long before employees become vested, and, within 15 business days, the business can send in its employees’ first 401(k) contributions.

The Principal Financial Group unveiled a new online tool to help 401(k) participants estimate how long it will take for their balances to be rebuilt to January 2008 levels, using data from the Employee Benefit Research Institute (EBRI).

UAT unveiled Unified Compliance and Control System (UCCS), a pre-trade compliance and real-time risk management system to help oversee sub-advised target-date funds. The tool will help sponsor firms and fund executives monitor weightings and maintain proper limits around target-date fund allocations.

The SPARK Institute released new best practices for 403(b) plans to share remittance and census data. “Best Practices for Multiple Vendor Plans— Remittance and Census Data Elements Version RC1.0.” replaces Part III of The SPARK Institute’s “Best Practices for Information Sharing.”

Diversified Investment Advisors, Inc., notified the Internal Revenue Service (IRS) of its intent to sponsor one or more 403(b) prototype plans.

The Hartford has announced a new cash balance program designed to complement a 401(k) program.

Longview Financial Advisors, LLC, launched Klear(k), a new retirement plan program that gives plan sponsors a way to access exchange-traded funds (ETFs) through FOLIOfn’s investment platform. The program offers ETFs, no-load mutual funds, and low-cost, actively managed investment models to 401(k), 403(b), 457, and defined benefit retirement plans of all sizes.

RolloverSystems, Inc. (RSI) launched enhanced rollover asset retention solutions and participant retirement readiness tools to plan sponsors, institutional providers, TPAs, advisers, and participants, including new Web portals. The company will build customized service models for providers and broker/dealers who are seeking an adviser-centric product solution to retain assets while helping terminated participants.

To help plan sponsors address the challenges of missing participants, Keane Retirement Services has entered into a strategic partnership with automatic rollover provider Millennium Trust Company to provide an automated solution for plan terminations and missing participant resolution.

Sunwest Trust, Inc., launched an “Individual 401(k) (i401(k))” for small-business owners looking for retirement plan options. With an i401(k), business owners might be eligible to contribute far greater amounts to their 401(k)s than they could with any other type of retirement plan, and business owners can designate some or all of your deferrals as Roth contributions, the company says.

Morningstar, Inc., launched a nationwide directory of retirement plan service providers, including information about more than 5,000 investment managers, consultants, recordkeepers, actuaries, and other providers. The Web-based Morningstar Retirement Plan Service Directory allows users to screen across Form 5500 filings to find aggregate data about service provider assets, fees, and number of plans served.

RPG Consultants and PenChecks Inc. announced an alliance enabling retirement plan sponsors to distribute assets on behalf of participants who cannot be located. After IRS-approved procedures are followed to attempt to track down missing participants, their accounts are automatically rolled over into IRAs, administered by PenChecks.

BrightScope, a 401(k) ratings and analytics firm, rolled out the Plan Management Dashboard. The service benchmarks a plan’s BrightScope Rating and all six component ratings against a group of similar companies, enables viewing and verification of the underlying data and calculations, and provides for direct plan-to-plan comparisons.

ADVISER TOOLS

Transamerica Retirement Services unveiled an audio tool to help financial advisers build and maintain profitable business in the growing small-plan retirement market. The CD workshop, “401(k) Business Building Workshop for Financial Advisors,” provides advisers with tools or solutions that can be implemented in their business development efforts. 

John Hancock Retirement Plan Services said its new 401(k) proposal package was built to allow financial advisers to highlight elements of particular relevance to a plan sponsor. The proposal and PRIME pitchbook are built around the five PRIME Elements of retirement plan success, a marketing program introduced in January.

Benefit Consultants Group (BCG) said its new 401(k) X-Ray provides financial advisers with a free comprehensive analysis of a client’s retirement plan. The offering looks at what a plan has achieved and decides whether it is operating at peak performance, or if adjustments need to be made.

P&A Retirement Plan Servicessaid it is expanding its open-architecture product matrix to focus on the fee-based adviser channel. It has partnered with the CIF Marketplace to supplement the traditional mutual fund and ETF product base with a limited selection of both core and managed CIFs.

Technology provider PlanTools, LLC, released Version 3.5 of the PlanTools Risk Management System, which offers a standards-based investment reporting and risk management system that includes open-end mutual funds, ETFs, group and individual variable annuities, separate accounts, CIFs, and market investment indexes.

WealthEnginelaunched Prospect Generator, a searchable database of more than 7 million high-net-worth individuals, providing data on individuals’ real estate holdings, stock transactions, income, business associations, board affiliations, boat and/or airplane ownership, charitable interests, and philanthropy and political contributions.

Nationwide Financial Services unveiled RetireSense, an investment and drawdown strategy to help advisers build personalized retirement income solutions for clients. It includes supporting tools for advisers looking for more education and assistance with the retirement income planning process.

SunGardteamed up with iShares to launch a solution to help advisers and TPAs incorporate ETFs as standard options in defined contribution plans. TPAs and advisers using SunGard’s Omni and Relius recordkeeping platforms for benefit administration will be able to access and trade iShares ETFs through an integrated link to the SunGard Transaction Network (STN).

John Hancock Fundsdesigned a section of its Web site to help advisers assist clients who are facing job changes or losses. Under the Retirement Planning tab of the financial adviser site at www.jhfunds.com, advisers will find a resource center with worksheets, sales tools, a client seminar, and brochures, all developed to help clients keep their financial plans on track amid job disruptions due to the recession.

Brinker Capital announced plans to launch its Personalized Distribution Strategy, a systematic approach to retirement spending and investing, toward the end of the third quarter. The strategy consists of two elements: a Cash Liquidity Reserve and a Brinker Destinations portfolio.

In an effort to grow in the mid-market space (employers with $20 million to $150 million in retirement plan assets), ING’s U.S. Retirement Services operations launched a series of educational roundtable discussions for mid-market retirement plan consultants and registered investment advisers (RIAs).

INVESTMENTS

T. Rowe Price launched the U.S. Large-Cap Core Fund, which seeks long-term capital growth with moderate risk by investing in a concentrated portfolio across the spectrum of both value and growth large-cap domestic stocks.

PIMCO launched the PIMCO Emerging Markets and Infrastructure Bond Fund. The fund seeks to capitalize on the expected sharp increase in spending by developing nations on energy, transportation, water and waste treatment, telecommunications, public housing, and development banks.

J & W Seligman’s TargetHorizon portfolios, a suite of target-date funds composed of ETFs and managed by RiverSource Investments, introduced a risk overlay strategy to help mitigate portfolio volatility.

Driehaus Capital Management now offers the Driehaus Active Income Fund (LCMAX), an absolute return mutual fund targeting institutional and high-net-worth investors looking for an absolute return alternative to core and core plus strategies.

Huntington Funds introduced three Asset Allocation Funds, advised by Huntington Asset Advisors, Inc. (HAA): the Huntington Conservative Allocation Fund (HCAFX), Huntington Balanced Allocation Fund (HBAFX), and Huntington Growth Allocation Fund (HGRFX).

Natixis Global Associates (NGA) launched a multi-strategy, absolute-return fund in conjunction with AlphaSimplex Group (ASG): Natixis ASG Diversifying Strategies Fund (DSFAX).

Genworth Life and Annuity Insurance Company, a subsidiary of Genworth Financial Inc., launched RetireReady One, a variable annuity designed to help advisers personalize a guaranteed income strategy for clients. The company said it includes a simplified application, surrender charge schedule flexibility in a single contract, and a more focused menu of underlying investment portfolios.