Investments
Split Investments
We support clients whose plan investments are split between multiple investment providers. This is often helpful with plans whose trustees want to maintain investments at different institutions. It is also helpful in cases where older plan assets cannot be immediately sold. Here are some examples of our clients’ use of split investments:
Client A invests company-paid profit sharing contributions in a single ‘co-mingled’ brokerage account managed with – or without – a professional investment advisor. The same plan allows participants to self-direct the investment of their 401(k) contributions on an investment platform, such as ING or Mutual of Omaha.
Client B invests all new contributions in a self-directed investment platform such as American Funds or Lincoln Financial. However, the plan also holds an older annuity contract that must be held for a few more years until surrender charges expire.
Client C allows participants over age 55 to self direct their benefits into brokerage account at any institution. All other participants may invest among at attractive list of investments at John Hancock or American Funds.