PLANADVISER - July/August 2017 - 38
feature
Reviewing Providers
R
etirement plan advisers can add value for their clients
by reviewing plan providers regularly. Through this
practice, they can make sure a provider meets all the
needs of the plan and its participants, plus maybe find an
opportunity to negotiate plan fees. In the process, they may
learn things that help their own business model, as well.
Kathleen Kelly, managing partner at Compass Financial
Partners, in Greensboro, North Carolina, says her firm takes
a disciplined approach to provider reviews.
" We do an annual fee benchmark for all clients. It validates
that fees are in line, reasonable and commensurate
with services provided, " she says. However, fees are only
half the conversation, so Kelly also looks at how well the
plan design and provider suit the plan's demographics.
Plans have changing demographics, she points out. " We
look at doing a request for information [RFI] or request for
proposals [RFP] even if things seem fine, " she says. " It helps
plan sponsors understand what is available in the market-
services and deliverables that have changed over time. "
Compass recommends a formal review of recordkeepers
every three to five years. " Obviously, if there are issues
Non-cookie-cutter plans require non-cookie-cutter services
or challenges with services or fees, we look at the market
sooner, " she says. Corporate changes such as a merger or
acquisition may also drive a more frequent review.
Kelly says her firm works with close to 20 providers.
However, most of its clients are concentrated among half
of those. " While we remain agnostic and don't change new
clients' recordkeepers for the sake of placing them where
we have a larger relationship, the bell curve of our clients'
recordkeeping relationships is similar to [that] of the market
in general, " she says.
She adds that having clients with different recordkeeping
partners provides leverage for negotiations, along
with improving her firm's understanding of available capabilities
and resources. Compass can then better advocate
on clients' behalf, as well as better identify the " best-fit "
partner during a recordkeeper search. " We regularly parlay
experiences with one vendor to [help us problem-solve with]
another-a recent example is a large recordkeeper that
had moved away from paper enrollments. We had on-site
education planned for a client's manufacturing facilities
where web usage is very low. Due to success we had with
38 | planadviser.com july-august 2017 Art by Jing Wei
http://www.planadviser.com
PLANADVISER - July/August 2017
Table of Contents for the Digital Edition of PLANADVISER - July/August 2017
Reconsidering the Status Quo
2017 PLANADVISER Recordkeeper Services Guide
Reviewing Providers
Bringing It All Together
Default Thinking
The Best Path Forward
PLANADVISER - July/August 2017 - C1
PLANADVISER - July/August 2017 - FC1
PLANADVISER - July/August 2017 - FC2
PLANADVISER - July/August 2017 - C2
PLANADVISER - July/August 2017 - 1
PLANADVISER - July/August 2017 - 2
PLANADVISER - July/August 2017 - 3
PLANADVISER - July/August 2017 - 4
PLANADVISER - July/August 2017 - 5
PLANADVISER - July/August 2017 - 6
PLANADVISER - July/August 2017 - 7
PLANADVISER - July/August 2017 - 8
PLANADVISER - July/August 2017 - 9
PLANADVISER - July/August 2017 - 10
PLANADVISER - July/August 2017 - 11
PLANADVISER - July/August 2017 - 12
PLANADVISER - July/August 2017 - 13
PLANADVISER - July/August 2017 - 14
PLANADVISER - July/August 2017 - 15
PLANADVISER - July/August 2017 - 16
PLANADVISER - July/August 2017 - 17
PLANADVISER - July/August 2017 - 18
PLANADVISER - July/August 2017 - 19
PLANADVISER - July/August 2017 - 20
PLANADVISER - July/August 2017 - 21
PLANADVISER - July/August 2017 - 22
PLANADVISER - July/August 2017 - 23
PLANADVISER - July/August 2017 - Reconsidering the Status Quo
PLANADVISER - July/August 2017 - 25
PLANADVISER - July/August 2017 - 26
PLANADVISER - July/August 2017 - 27
PLANADVISER - July/August 2017 - 2017 PLANADVISER Recordkeeper Services Guide
PLANADVISER - July/August 2017 - 29
PLANADVISER - July/August 2017 - 30
PLANADVISER - July/August 2017 - 31
PLANADVISER - July/August 2017 - 32
PLANADVISER - July/August 2017 - 33
PLANADVISER - July/August 2017 - 34
PLANADVISER - July/August 2017 - 35
PLANADVISER - July/August 2017 - 36
PLANADVISER - July/August 2017 - 37
PLANADVISER - July/August 2017 - Reviewing Providers
PLANADVISER - July/August 2017 - 39
PLANADVISER - July/August 2017 - 40
PLANADVISER - July/August 2017 - 41
PLANADVISER - July/August 2017 - Bringing It All Together
PLANADVISER - July/August 2017 - 43
PLANADVISER - July/August 2017 - Default Thinking
PLANADVISER - July/August 2017 - 45
PLANADVISER - July/August 2017 - 46
PLANADVISER - July/August 2017 - 47
PLANADVISER - July/August 2017 - The Best Path Forward
PLANADVISER - July/August 2017 - 49
PLANADVISER - July/August 2017 - 50
PLANADVISER - July/August 2017 - 51
PLANADVISER - July/August 2017 - 52
PLANADVISER - July/August 2017 - C3
PLANADVISER - July/August 2017 - C4
https://www.planadviserdigital.com/planadviser/winter_2023
https://www.planadviserdigital.com/planadviser/fall_2023
https://www.planadviserdigital.com/planadviser/summer_2023
https://www.planadviserdigital.com/planadviser/industryleader_2023
https://www.planadviserdigital.com/planadviser/spring_2023
https://www.planadviserdigital.com/planadviser/november_december_2022
https://www.planadviserdigital.com/planadviser/september_october_2022
https://www.planadviserdigital.com/planadviser/july_august_2022
https://www.planadviserdigital.com/planadviser/may_june_2022
https://www.planadviserdigital.com/planadviser/industry_leader_awards_2022
https://www.planadviserdigital.com/planadviser/march_april_2022
https://www.planadviserdigital.com/planadviser/january_february_2022
https://www.planadviserdigital.com/planadviser/november_december_2021
https://www.planadviserdigital.com/planadviser/september_october_2021
https://www.planadviserdigital.com/planadviser/july_august_2021
https://www.planadviserdigital.com/planadviser/may_june_2021
https://www.planadviserdigital.com/planadviser/march_april_2021
https://www.planadviserdigital.com/planadviser/january_february_2021
https://www.planadviserdigital.com/planadviser/november_december_2020
https://www.planadviserdigital.com/planadviser/september_october_2020
https://www.planadviserdigital.com/planadviser/july_august_2020
https://www.planadviserdigital.com/planadviser/may_june_2020
https://www.planadviserdigital.com/planadviser/march_april_2020
https://www.planadviserdigital.com/planadviser/january_february_2020
https://www.planadviserdigital.com/planadviser/november_december_2019
https://www.planadviserdigital.com/planadviser/september_october_2019
https://www.planadviserdigital.com/planadviser/july_august_2019
https://www.planadviserdigital.com/planadviser/may_june_2019
https://www.planadviserdigital.com/planadviser/march_april_2019
https://www.planadviserdigital.com/planadviser/january_february_2019
https://www.planadviserdigital.com/planadviser/november_december_2018
https://www.planadviserdigital.com/planadviser/september_october_2018
https://www.planadviserdigital.com/planadviser/july_august_2018
https://www.planadviserdigital.com/planadviser/may_june_2018
https://www.planadviserdigital.com/planadviser/march_april_2018
https://www.planadviserdigital.com/planadviser/january_february_2018
https://www.planadviserdigital.com/planadviser/november_december_2017
https://www.planadviserdigital.com/planadviser/september_october_2017
https://www.planadviserdigital.com/planadviser/july_august_2017
https://www.nxtbookmedia.com