New "Bill of Rights" for Retirement Plan Participants

The company said in its press release that the document articulates what participants should expect from plan sponsors and plan providers for the best chance at a secure retirement.

The seven points in the guide, according to the release, are:

• The right to know the size of the retirement savings (“Nest Egg”) they will need in retirement to live in financial security.
• The right to know on a regular basis whether they are on track to building the appropriate retirement savings, or failing that, the steps to get on track.
• The right to a well diversified, quality portfolio appropriate for the participant, based on risk tolerance, retirement time horizon, and individual financial circumstances.
• The right to automatic services such as auto-enrollment, auto-contribution increases and auto-portfolio allocation designed to meet the individual participant’s retirement savings and investing needs.
• The right to know their portfolio’s investment performance relative to the appropriate benchmark(s).
• The right to access low-fee, unbiased professional investment advice from an advisor who serves as a co-fiduciary to the participant.
• The right to know all fees charged either directly to their account or charged indirectly through the expense ratios of the investments in the portfolio. All explanations should be in clear, concise language, including information about potential conflicts of interest of the organizations handling or selling.

Christian Echavarria, Founder and SVP of Invesmart, said in the release, “We’re hopeful sponsors of retirement plans and the Retirement Industry in general will embrace our Bill of Rights and use it as part of a growing commitment to improving the retirement security of America’s workers.”