In The News

 
February 2007 — In its "On Your Side" column, Money Magazine profiles Employee Fiduciary CEO Greg Carpenter. Business writer Asa Fitch reports that Carpenter's firm is "leading the way on 401(k) fees." Carpenter, Fitch describes, "is betting there is a growing market for 401(k) plans that put employee's interests first."

February 2007 — Bloomberg financial columnist John F. Wasik predicts that “the days of overpriced 401(k) type retirement plans are numbered” and points to Employee Fiduciary as the “bargain 401(k)….elegant in its simplicity.” 

   
January 2007 —Money Magazine makes a clarion call for better fee disclosure throughout the 401(k) industry. The managing editor of Money offers this endorsement of Employee Fiduciary: "If the fog over 401(k) costs eventually lifts, then money managers and administrators can compete on price more or less in the open, just like any other vendor providing services to employers. Some 401(k) administrators already do this. Employee Fiduciary of Mobile, for example, charges a flat fee and passes any revenue sharing back to employees. In this world, sunshine and competition are your friends. And your 401(k) is so important to your future that it cannot be allowed to set its price in the shadows."   

January 2007 — Trade magazine Employee Benefit Adviser publishes an article by Employee Fiduciary Executive Vice President Parker Payson, who explains seven key steps investment advisors can take to unlock the 401(k) market, provide meaningful support to plan trustees, and expand their clientele. The most important steps, Payson states, are to quantify all plan costs—including "hidden" fees—and communicate savings. 

December 2006 — In an article on the wide use of kickbacks in the 401(k) industry, Forbes Magazine lauds Employee Fiduciary as a "Fiduciary Revolutionary." Employee Fiduciary, Forbes writes, "has a dull sounding name but a revolutionary business concept; namely that the standard corporate 401(k) is a rip-off. This company aims to fix that." Unlike other firms, Employee Fiduciary "acts as a fiduciary...and runs 401(k) plans at a fraction of the usual cost." The article also provides first hand examples of common ways vendors mislead employers shopping for 401(k)s and the deleterious consequences these practices have on employees saving for retirement.

December 2006 — DowJones Newswire reports that the Government Accountability Office (GAO) is urging Congress to amend rules governing 401(k) plans because "‘piecemeal’ disclosure of fees is hurting investors.”  Employee Fiduciary Executive Vice President Parker Payson provides perspective. He states that while “large firms may receive competitive bids with low fees [and] low-cost mutual funds…it’s not unusual for small companies to have fees of 2% or 3% in their 401(k) plans,” which can easily strip employees of more than half of their annual investment returns.

September 2006 — In an article on hidden costs in retirement plans, The Los Angeles Times quotes Employee Fiduciary Executive Vice President Parker Payson on the importance of full-fee disclosure, especially in group annuities, where widespread use of multiple layers of asset-based fees can make 401(k) and 403(b) comparisons nearly impossible for conscientious employers and their advisors.

April 2006 — In an article on "Choosing the Best Provider," Business Week’s SmallBiz Magazine points to Employee Fiduciary. If companies want alternatives to high cost 401(k)s, “another option is Employee Fiduciary in Mobile, Ala., which charges $25 per participant or an annual minimum of $1,500.”

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