Chao & Company’s Investment Consulting provides complete expert fiduciary advice with the goal to reduce fiduciary responsibilities and liabilities for plan sponsors. Through the development of a reasoned and practical Investment Policy Statement, we aim to guide the process in a way that will deliver cost effective solutions, identify and select investment vehicles that align with the stated goals, and prudently monitor investments.
A detailed process forms the basis for preparation, review and update of a Plan’s Investment Policy Statement in order to address many qualitative factors:
- Organization and participant background and demographics
- The Plan’s set goals and objectives
- Identifying all fiduciaries including functions
- Investment philosophy – the role of passive vs active funds
- Identifying asset and sub asset classes to be included
- Identifying historical returns, risk and correlation
- Investment selection criteria and benchmarks
- Investment monitoring criteria
- Watch list criteria
- QDIA selection and monitoring criteria
- Participant level advice selection and monitoring
- Misc. issues such as company stock, 404(c) and brokerage accounts