Andy Kelleher

Background

About Andy Kelleher

As regulatory scrutiny intensifies on retirement plans, it is imperative for plan sponsors to maintain comprehensive documentation of their due diligence efforts, ensuring the health of their plans. While many due diligence methods include fee benchmarking and assorted plan reporting, pinpointing an effective strategy to assess retirement plan advisors providing advisory services to these retirement plans remains a challenge. Our findings indicate that while many plan sponsors are adept at benchmarking or evaluating recordkeepers, gauging their plan's investment adviser becomes a complex endeavor. Thus, the reason the rpaDD Center was created. Here is a snapshot of the core areas our due diligence screening process focuses on: Understand Fiduciary Responsibility: We understand the fiduciary responsibilities the plan sponsor holds, and our service ensures the retirement plan advisor is fulfilling their own fiduciary obligations Review Advisor's Credentials: Check the financial advisor's qualifications, licenses, and any certifications to ensure they are appropriate for advising on retirement plans Examine Past Performance: While past performance is not indicative of future results, it is essential to review the record of accomplishment to understand the advisor's competence Analyze Fee Structures: Evaluate the fee structure of the financial advisor to ensure they are reasonable and competitive Check for Conflicts of Interest: Ascertain if the advisor has any potential conflicts of interest Review Investment Policy Statement (IPS): It is crucial to ensure the financial advisor adheres to the IPS and that the IPS is revisited periodically Monitor Investment Selection and Performance: Regularly review the investment options provided by the advisor to ensure they align with the plan's goals and meet performance benchmarks Compliance with Regulations: Ensure the advisor understands and is compliant with all relevant regulations, including the Employee Retirement Income Security Act (ERISA) and any other federal, state, or local regulations Benchmarking: Periodically benchmark the retirement plan's performance, fees, and services against similar plans in the industry to ensure competitiveness Communication and Reporting: Ensure the advisor provides regular, clear, and comprehensive reports about the retirement plan's performance and any recommendations Due Diligence Documentation: Maintain detailed records of all due diligence activities