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...and thus, fiduciaries who approve PE in 401(k)s would not only jeopardize participants' retirement security but also invite personal liability for breaching ERISA's duties of loyalty and prudence, says Rick Bavetz of Carington Financial.

See my contribution to Forbes Magazine: “A market downturn within 5 years of retirement can significantly affect the distribution phase of one’s life. Unlike target-date funds, managed accounts can provide tailored strategies," says Bavetz

“A market downturn within 5 years of retirement can significantly affect the distribution phase of one’s life..." says Bavetz

‘Do our employees understand the plan well enough to use it effectively?’” says investment advisor, Richard Bavetz. “Many don’t, and that gap can lead to under-saving or poor investment choices."

"We look for three aspects of risk tolerance: Capacity, Disposition, & whether the client’s expectations are realistic. Experienced advisers lean heavily on personal judgment while staying open to the client’s beliefs…" says Rick Bavetz

“They can also design plan features that automate the creation of a ‘retirement runway,’ such as allocations that participants can toggle to stable value or money market funds starting a few years before retirement," says Rick Bavetz...

Rick Bavetz envisions, “Opening up the TSP to everyone could be a transformative idea for SECURE 3.0, as it would provide standardized access to a low-cost, well-managed retirement plan with proven investment options.

“For older generations, Congress might address the Social Security issue by maintaining current benefits,” says Richard Bavetz, investment advisor at Carington Financial. “ While gradually introducing reforms for younger workers..."

“Congress could offer tax credits to small businesses for starting new retirement plans, such as 401k plans or SIMPLE IRAs, or expand existing credits for plan administration costs,” says Richard Bavetz, investment advisor at Carington...

““If tax cuts ultimately lead to increased revenue, spending cuts may not be necessary,” says Rick Bavetz, Investment Advisor at Carington Financial. "With rising revenues, such adjustments could focus on improving fiscal discipline..."

“This change would reduce regulatory burdens on advisors, allowing them to prioritize the client’s interests and needs over satisfying the constant increase in new overlapping requirements." says Investment Advisor Rick Bavetz...

"Our investment philosophy is driven by a single-minded focus: to add value for our collective clients. This focus enables us to seek risk-adjusted returns over full market cycles through a disciplined process..."

“A TIPS document for decumulation strategies could be incredibly beneficial for plan sponsors, offering a practical and straightforward approach to an area that has grown in complexity as more participants reach retirement age,” says Bavetz

“The key to becoming a better fiduciary is a combination of continuous learning, transparency, and a caring attitude,” says Bavetz. “The financial landscape is constantly evolving, with changes in regulations, tax laws, & market conditions.

By being more proactive and leveraging technology and innovation, fiduciaries move beyond basic compliance & aim for superior outcomes that genuinely serve the best interests of investors & plan participants,” says Investment Advisor Bavetz

The reality is that investors are dying to have a new experience. The dominance of big brokerage firms & wirehouses has given investors the impression that there is no alternative. The fiduciary model provides the experience they're seeking

“Pooled Employer Plans (PEPs) free up significant time for plan sponsors by taking over many administrative, regulatory, and fiduciary tasks that can otherwise be time-consuming and complex, says Investment Advisor Rick Bavetz...

“While it can be necessary to switch recordkeepers to improve service quality or reduce costs, the process requires careful planning, extensive coordination, significant time & resources to ensure a smooth transition with minimal impact...

“The most important reason 401k plan sponsors should work with a professional fiduciary is to ensure that the plan is managed with the singular focus placed on the best interests of plan participants, says Investment Advisor Rick Bavetz...

“For the majority of workers under 21, especially those juggling school and part-time work, the idea of maxing out a 401k seems implausible,” says Bavetz...

“Larger 401k plans can negotiate lower fees for administrative services and investment options due to their size and bargaining power,” says Richard Bavetz, investment advisor at Carington Financial in Westlake Village, California...

“In light of the recent preliminary injunction issued by a Texas court, 401k plan sponsors should exercise skepticism before implementing the DOL new Fiduciary Rule,” says Bavetz. “The court’s decision highlights several vulnerabilities...

Judge O'Connor wrote, “To the contrary, there is a substantial public interest ‘in having governmental agencies abide by the federal laws that govern their existence and operations,’” (citing Texas v. United States, 5th Cir. 2022).

“Plan sponsors are obligated to put the interests of their plan participants ahead of their own,” says Bavetz. “It is their fiduciary duty. This involves making prudent decisions about plan investments, ensuring fees are reasonable...

A plan sponsor's paramount responsibility is to ensure the effectiveness and compliance of their 401(k) plan. In light of evolving regulatory landscapes, technological advancements, and participant needs, revisiting best practices can help

Check out my most recent contribution to an article published in Fiduciary News... 401k Plan Sponsor Fiduciary Best Practices For Lost Or Missing Plan Participantsby Christopher Carosa June 25, 2024 When plan sponsors have lost contact...

"There are specific considerations for federal employees looking to maximize their retirement income & understand retirement income tax strategies given the unique nature of FERS, SSI & TSP," says Rick Bavetz, Federal Retirement Consultant℠

“The benefits to the client using an SMA platform are manifold compared to the traditional mutual fund or ETF design, both in cost of ownership and performance. SMAs increase efficiency by reducing unnecessary costs & expenses,” says Bavetz

Have you seen the grocery store signs that say, “Buy one, get one,” or “Buy one at $4.99, or get four for $2.99 each?” It’s a concept called “spaving,” a time-tested marketing strategy designed to get consumers to spend more–perhaps...

"Anyone who truly thinks this thru will realize that delaying payment of taxes into the future goes against what we believe will happen, what we want to happen, & what we’re all working so hard to achieve, a successful retirement outcome."

“The DOL aims to expand the scope of fiduciary responsibility to more financial advisors by updating the definition of who is considered a fiduciary when providing investment advice,” says Richard Bavetz, investment advisor at Carington...

“The increased fiduciary obligations under the rule will require plan sponsors to enhance their monitoring and compliance mechanisms,” says Richard Bavetz, investment advisor at Carington Financial in Westlake Village, California.

See my contribution to Forbes Magazine: “As a result, savers should feel more confident and secure in the advice they receive, knowing it is intended to foster their financial well-being as they prepare for retirement,” says Rick Bavetz.

“In a 401k plan, there is a potential for higher returns on retirement savings due to the ability to invest in a broad range of assets, including stocks, bonds, & mutual funds,” says Rick Bavetz of Carington Financial in Westlake Village.

“The passage of the Employee Retirement Income Security Act of 1974 (ERISA) marked a pivotal shift in retirement planning in the US, moving from predominantly DB pension plans to defined contribution (DC) plans like 401k plans,” says Bavetz

“If proxy voting is influenced by ESG considerations that do not directly relate to financial performance, it may be seen as deviating from this mandate. This could expose plan sponsors to legal challenges," says Richard Bavetz...

“The case may also set a precedent, influencing future legal challenges and regulatory guidance on how plan sponsors evaluate and select investment options, including those with specific strategies like ESG,” says Richard Bavetz...

“The complaint argues that an ESG-focused investment approach prioritizes a political agenda over maximizing financial benefits for retirement plan participants, in breach of the fiduciary duties outlined in ERISA,” says Richard Bavetz...

"Lucius is portrayed as a loyal & ethical steward of Wayne’s business interests & inventions, embodying the principles of fiduciary duty through his actions. He manages Wayne Enterprises & its resources with great care," describes Bavetz...

“Both fiduciary relationships and marriages are built on a foundation of mutual respect, care, and a dedication to acting in the best interest of the other,” says Richard Bavetz, investment advisor at Carington Financial in Westlake Village

“Promoting financial literacy is essential in changing an individual’s attitude toward money, their overall savings habits, and investor behavior," says Richard Bavetz, investment advisor at Carington Financial in Westlake Village Calif...

“Like many commodities, Bitcoin and other cryptocurrencies are known for their extreme volatility,” says Richard Bavetz, investment advisor at Carington Financial in Westlake Village, California. “The dramatic fluctuations in value..."

US News & World Report: "If an employee's contributions are not matched, then the only advantage to making tax-deferred contributions comes if the taxes are lower when the employee begins withdrawals, but that's a big if," says Rick Bavetz

“Plan Sponsors should realize that there’s a new Sheriff in town,” says Richard Bavetz, investment advisor and Federal Retirement Consultant in Westlake Village California. “They are likely to experience an increasing amount of judicial..."

“Auto-portability is a slippery slope,” says Richard Bavetz, investment advisor at Carington Financial. “Where does it end? There is a consistent and increasing pattern of government overreach that doesn’t seem to have a brake pedal."

“This can be a double-edged sword however as some in the industry have concerns over the fiduciary implications... a 30-day limit on changing funds that is quite restrictive," says Richard Bavetz, investment advisor at Carington Financial

“In the past other companies followed IBM’s lead in these areas,” says Richard Bavetz, investment advisor at Carington Financial in Westlake Village California. “They are not the trendsetters they once were.

"The White House seems to be portraying themselves as fiduciaries dispensing the same advice to 100 million people, violating the core principle of the fiduciary model," says Federal Retirement Consultant℠, Richard Bavetz.

"The government is clearly trying to slow the flow of retirement money moving away from employer plans & retirement accounts by making it more difficult to transact," says Richard Bavetz, investment advisor & Federal Retirement Consultant℠

“Robbing accounts reduces the funds available in retirement and also sacrifices potential future earnings on those funds. Because retirement accounts are already lower than previous generations, participants are already behind," says Bavetz

"Investment Advisor Rick Bavetz points out that a great number of retirees are affected by what he calls the 'Reversal of Fortune Effect'' where they contributed to their 401k when taxes were lower than they are today or when they retire."

“Employers should make all reasonable efforts to find ‘lost’ plan participants,” says Richard Bavetz, investment advisor and federal retirement consultant for Carington Financial in Westlake Village, California.

Forbes Magazine: "Former plan participants should be seeking greater investment options & fewer restrictions while reaching for higher levels of service & transparency," says investment advisor Rick Bavetz, a Federal Retirement Consultant℠

From Forbes Magazine: “No one knows how much they’re going to need, and most don’t know how to calculate future values or annual rates of return,” says Richard Bavetz, an investment advisor at Carington Financial in Westlake Village, Ca.

"While many resent the Baby Boomers for ‘hoarding all the money,’ everyone should try to learn from the success of what may be the most successful generation.” says Richard Bavetz, an investment advisor, Carington Financial...

From Forbes Magazine: “Investors are dying to have a new experience,” says Bavetz, investment advisor at Carington Financial. “The dominance of big brokerage firms has given the average investor the impression that there's no alternative"

“Financial Professionals need to put their money where their mouth is,” says advisor Richard Bavetz, a Federal Retirement Consultant℠. "I believe a Fiduciary must uphold their commitment to creating a relationship with a client..."

"REG BI didn’t really go far enough to eliminate Dual Agency so there are advisors claiming to be fiduciaries who are still beholden to their respective Broker-Dealers and unable to truly ‘serve two masters," says advisor Richard Bavetz...

Tip: How Much? Check your Social Security earnings and see an estimate of your benefits on the website, www.ssa.gov. Social Security’s been a fact of retirement life ever since it was established in 1935. We all think we know how...