For a plan sponsor, how is Stellar different than a brokerage firm or bank?

Stellar accepts fiduciary responsibility as a Section 3(38) Investment Manager, helping plan sponsors better manage fiduciary liability. In addition, because Stellar operates in an "open architecture" environment, your plan will have access to almost any investment vehicle that Stellar is comfortable recommending, and using.

If I am a sponsor for a 401(k) program, how do I know whether my plan provider has the best investments available?

Typically that information will not be available to you. When Stellar is engaged by a plan sponsor in a fiduciary capacity, we do a thorough review of the available investments and recommend the best menu possible with the investments that are available through that provider. We will also point out weaknesses in the provider’s investment platform, and suggest the best way to address those weaknesses. With the new pension rules affecting plan sponsors like you, we would recommend that you fully understand the limitations and cost details of any ERISA governed retirement plan offered to your employees. Stellar can assist you with that task.

Do you have any recommendations of consulting firms skilled in the management of 401(k) plans?

Being active in the retirement plan field for years, we have established excellent relationships with many quality service providers. We are able to review your situation and recommend suitable service providers for all of the complementary services required for a well-run employer sponsored retirement plan, and can make the appropriate introductions. Quite often we are brought into a client relationship to provide investment services by these very same service providers.

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Portfolios are prudently managed by integrating your specific investment objectives with the prevailing opportunities and risks presented in the investment markets. In our opinion, the resulting portfolios reflect the best method of achieving your investment objectives.