TGA Capital Management-Vanguard

“We help companies reduce the cost of their employee benefits programs without impacting benefit levels.

 

With the spiraling costs of providing retirement plans today, this is a critical issue for most businesses. One of our recent clients, an electrical supply company, was struggling with how to lower cost in this area. We reduced their plan administration costs, removed all the commissions that were being paid from their plan and provided the plan sponsor / participants with low-cost investment selection.  “Plus, they didn’t cut any services to their employees, nor did their employees have to pay more.”

 

Two ways how low costs can benefit your plan and plan participants.

Greater potential asset growth for your participants

As a retirement plan fiduciary,  our firm collaborates with nationally recognized financial institutions that provide; Lower expense ratios allow investors to keep more of their returns—and can help lead them toward a more secure retirement.

 

Vanguard’s average expense ratio has decreased over the years, and is now more than five times less than the industry average1.

 

Vanguards unique corporate ownership structure drives low cost.

Vanguard is owned by its funds, which in turn are owned by their shareholders—not by outside investors or stockholders looking to maximize their quarterly profit.

 

We believe their unique ownership structure enables us to provide our plan sponsors and participants with competitive fund pricing. In fact, Vanguards structure benefits fund shareholders by allowing them to return profits to their funds in the form of lower expense ratios, which in turn lowers your corporate sponsored plan costs.

 

Vanguard Retirement Plan Access™ is designed to help small and mid-sized businesses establish 401(k) plans by making them as simple to operate and as low-cost as possible.  Work with a fee-based advisor to be provided an effective, easy-to-use, low-cost services for 401(k) plans.

 

Through this collaborative service, our advisory and Vanguard is committed that all plan sponsors should be able to offer high-quality, cost-effective retirement plans to their employees.

 

As a financial professional, we believe we can play a critical support role for 401(k) plan sponsors.

 

Small and mid-sized market business owners often focus, naturally, on their business. When it comes to their 401(k), they can rely on our expertise. We build relationships that create a partnership with the sponsors we serve, and our clients often turn to you for financial insights and updates on the latest investment trends and research.

 

Furthermore, some participants don’t have the time or inclination for financial and retirement planning. Employees can fail to take advantage of their employers’ 401(k) plans for a variety of reasons, including lack of planning or investment knowledge, inertia, and procrastination. In such

circumstances, we can play a critical role as an advisor or coach to participants.

 

We can help them establish a savings plan, oversee plan enrollment, and get them on track toward their savings goals.

 

In our role as a financial professional, there is a wide range of services that we can offer to support sponsors and participants in 401(k) plans:

 

·         Comprehensive plan sponsor strategy

            – Plan design to promote positive participant behavior.

            – Plan service and fee due diligence.

            – Plan conversion support.

            – Investment Policy Statement creation and support.

            – Professionally managed model portfolio creation and support.

            – Ongoing investment and plan reviews.

            - 401(k) Plan Fee Disclosure Form

            - Plan Bench Mark Proposal (Your Plan Compared to Bench-Mark Peers in your given Business Classification.  Ranking       your plan as to; Costs, Funding, Performance, Participation.*

 

·         Comprehensive participant strategy

            – Enrollment and ongoing employee education meetings.

            – Participant-level retirement planning and investment advice.

            – Retirement income guidance.

 

As plan sponsors evaluate the nuances of their fiduciary duties, they are often turning to financial professionals to guide and support them. Some advisors’ agreements with plan sponsors do not provide for the advisor to act in a fiduciary capacity for the plan. For advisors that do not, that landscape may be changing. The Department of Labor is reviewing the definition of a fiduciary, and may potentially broaden the circumstances under which financial professionals would become subject to the fiduciary standard through amendments to existing fiduciary regulations.

 

Investment management services (commonly referred to as ERISA Section 3(38) services) can be offered by registered investment advisors who have acknowledged their fiduciary status in writing. Investment managers are given control to manage the plan’s assets (or a portion of the plan’s assets). A fiduciary responsibility for plan sponsors is to prudently select investment managers, but the investment manager has the responsibility and liability for their actual investment decisions.

 

With our knowledge and expertise, you will have a cost-effective, fully transparent, streamlined plan and ongoing advisory to meet with on a continual basis, along with 24/7 account access,  participant email alerts, educational website(s) and an earnest, prudent advisory committed to your (ROI), return on investment.

 

With this in mind, request our complimentary bench-mark report or to arrange a consultation without any obligation.  I can be reached at mgreen@tgacapitalmanagement.comor call 508-224-9646.

 

Sincerely,

Michael D. Green, Principal

TGA Capital Management  

A Registered Investment Advisory

1-508-224-9646