The Trust Advisor published an article titled "DOL Begins Crackdown on 401k Providers for Fee Bundling Abuses" by Scott Martin. In his article, Martin describes the Department of Labor's new rules as an inevitable response to fee bundling practices that have allowed third party service providers to take advantage of employees who are participating in employer provided 401k retirement plans. Martin predicts the impact of the rules, which are set to enter into force on April 1 of 2012, will be to impose greater transparency on the allocation of fees paid by employees participating in employer provided 401k plans.
See Scott Martin, "DOL Begins Crackdown on 401k Providers for Fee Bundling Abuses" (July 24, 2011)
Posted by Jason Tyler Young, Associate Editor, Wealth Strategies Journal.
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