Tag: expense ratios
My friend Francis Vitagliano paid me a visit to show that 401(k) plans are paying mutual funds $940 million in transfer agent fees for services they already receive through their record-keeper. He may well be right. The question, however, is how do 401(k)s improve their lot? Defined benefit plans use collective-investment-trust (CIT) versions of…
The answer appears to be “no.” State and local government pension plans review their investment performance in two main ways. At a broad level, they compare their overall portfolio returns to their peers or to a simplified portfolio (such as a 60/40 stock/bond index). At a narrower level, plans compare their returns by asset class…
