NAPFA Fights Conflicts of 401k Advisor
The Department of Labor (DOL) has revised proposed regulation for sponsors of 401(k) plans to allow advisors registered with them to earn commissions and other incentive based compensation (think luxurious AIG vacation/conference) without disclosure to the plan participant (you). In March, NAPFA joined leading consumer and labor groups to fight the bill and get Congress to stop this DOL regulation.
Bloomberg had a great show (Bloomberg on hidden 401k Fees) on how fees associated with 401k and 403b plans are already too high, and often hidden. Those of us in the financial services industry know that the 401k market is crucial to retirement as it becomes more dependent on your savings. Anything but FULL disclosure of costs would be a step back in an industry already wrought with mistrust. (Source: NAPFA Advisor May 2009)