Changes to Defined Contribution Plans Continue in 2011

I recently read a great article at institutionalinvestor.com written by Judy Ward via 401khelpcenter.com. Please see below.

Inflation worries have spread to some retirement plan sponsors.

Among the 30 percent of employers with a defined contribution plan that intend to add investments to their lineup in 2011, TIPS (Treasury Inflation-Protected Securities) funds and real-return funds came in first in a survey by consultant Callan Associates. At year-end 2010, 16 percent of DC plans offered one or both of these investment options. “We have been having conversations with plan sponsors who are concerned about the prospects for inflation, and whether people at retirement with heavy fixed-income allocations have adequate ways to diversify,” says Lori Lucas, Callan’s defined contribution practice leader. Real estate funds placed second for new fund additions, with sponsors interested primarily in REITs, and she also attributes that largely to inflation-protection issues.

To read more, please visit the institutionalinvestor.com article link.

Integrity Financial Corporation’s flagship 401k client is the Association of Washington Business (AWB) in Olympia. AWB is Washington state’s premier advocate for the business community and is recognized as The State’s Chamber of Commerce. This plan has a BrightScope Rating of 76, placing it in the top 15% of all plans in its peer group. www.brightscope.com

Integrity Financial Corporation helps business owners and individuals build a financial legacy through well designed executive compensation and retirement plans. Our clients can expect to receive personalized service and expertise, built on a foundation of trust. Call us at 425-454-1254 for the Seattle or Bellevue area, or at 1-800-794-401k.

Please visit our website at www.ifclegacy.com to have an independent fiduciary 401k advisor at Integrity Financial Corporation analyze and evaluate your company’s 401k plan.