What may be done at any time will be done at no time.
– Scottish Proverb
Plan sponsors utilizing an unbundled service arrangement may be unintentional procrastinators without even knowing it. Let me explain.
Bundling has benefits. If you’ve followed my last few posts, you’ve seen how bundling a defined benefit (DB) plan with one service provider can mean cost and time savings, increased oversight and better overall service for the plan sponsor. Another advantage of bundling is eliminating a significant risk most plan sponsors may not even be aware of – the “Harriet factor”. Read more
If you watch television around the holidays, you’re bound to come across one of the best (IMO) holiday movies ever made – A Christmas Story. One of my favorite parts is when Ralph’s mom gets his brother and him ready to go out and play in the snow. He was so bundled up that he could barely move.
Ralph’s mom definitely bought into the idea of bundling. Do you see where I’m heading? Yes, I want to talk about the benefits of bundling when it comes to defined benefit (DB) plans. (Wow, right?) Read more
Everybody loves cheap money, right? Well, if you’re a borrower, you’ve definitely benefited from actions taken by the Federal Reserve to keep interest rates at record lows.
Well, there were two things I did during my summer nights as a teenager growing up in the ’80s that left a lifelong impact on me – listening to music and dreaming about DB plans. Didn’t we all? More on this later….
Anyway, in my last post, I introduced the idea of dynamic asset allocation (DAA) as a DB plan risk management strategy. This strategy works particularly well with hard frozen DB plans.