The Main Management SkPlan

There has been a great deal of talk about 401(k) plans both in congress and among professionals in the last couple of years. It has finally been recognized that traditional participant-directed 401(k) plans are not working.  As professionals have long known, busy untrained employees trying to manage their retirement funds with limited knowledge and information are no match for full-time professional money managers.  The underperformance of traditional plans not only promises disappointment for participants; it places an unintended liability on plan sponsors and fiduciaries.

Main Management, LLC, in response to new regulation has introduced the Simplified 401(k) plan (SkPlan).  This innovative 401(k) plan design dramatically reduces the fiduciary liability of plan fiduciaries and delegates the investment management responsibility to Main Management’s professional investment management team, thus relieving the generally ill-suited employees from making complicated long term investment decisions.

Main’s innovative SkPlan treats the entire plan as a single account thus substantially reducing the fees charged by the plan.  More importantly, the SkPlan design is consistent with accepted investment research that shows over 90% of a portfolio’s performance can be attributed to asset allocation rather than stock selection. In traditional plans, ironically, the least qualified stakeholders, the employees, are responsible for the allocation decisions. The SkPlan takes the logical step of putting these critical decisions in the hands of professionals.

  

 As a pioneer in using ETF’s to build actively managed portfolios of passive indexes, Main is uniquely suited to manage these advanced portfolios in 401(k) plans. SkPlan portfolios have access to hundreds of global investment choices including risk mitigation techniques not available in traditional plans.  

To learn more about how a SkPlan from Main Management can increase the retirement benefits of a 401(k) plan and dramatically reduce the personal liability of plan fiduciaries, call Jim McMichael, Director of Main's Retirement Consulting Group, at (800) 676-1276.