The Smart Way to Manage Your Retirement Plan

THE iQ401k DIFFERENCE

Open Architecture Platform Through Vanguard Retirement Plan Access™

iQ401k is an “open architecture” retirement plan platform. Most workplace retirement plans are serviced by a single service provider who acts as Fiduciary, Recordkeeper, Administrator, and Custodian. While it’s a convenient solution, this approach is rarely beneficial to a retirement plan, as a single provider may not be able to provide all required services at a high level in a cost-effective manner. On our platform, fiduciary services are provided by FPL Capital Management, while VRPA performs Recordkeeper and Administrator duties. If needed, an outside Administrator can be retained. Custodian is VRPA (administered by Ascensus).

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VARIOUS RETIREMENT PLAN STRUCTURES

Footnotes and disclosures

1. Market Strategies International. Cogent Reports^TMUS Institutional Brandscape, February 18. Respondents selected Vanguard as one of three plan providers they most associated with being a company they trusted. Cogent research provides custom research, syndicated research products and evidence-based consulting to organizations in the financial services, life sciences and consumer goods industries. This institutional investor survey was conducted independently by Cogent. Vanguard neither commissioned nor paid to be included. Cogent has conducted unrelated, custom market research for Vanguard in the past.

2. Pensions & Investments, as of June 30, 2018.

3. Ascensus, 2019.

Our Fee Stays The Same, Even As Plan Assets Grow.

Reduce Your Retirement Plan Fees by 30% to 40% on Average While Lowering Your Taxes

We offer ERISA 3(38) fiduciary investment management services on a flat-fee basis, while most retirement plans are charged a percentage of assets under management. Flat-fee structure should benefit most larger plans compared to the percentage of assets fee structure. Our flat annual fee is a base fee of $2,500 plus $200 per participant. Visit our Fees page for additional information.

A study of 525 retirement plans recently found that the average annual fee to be 0.52% of assets under management for plans with between $1 million and $5 million in assets. For a 20-participant plan with $2 million in plan assets, that would result in an annual fee of $10,400.

By contrast, that same 20-participant plan with $2 million in assets would cost $6,500 under our flat fee structure. Our fee stays the same even as plan assets grow. Also, our fee can be paid outside of retirement plan accounts, which is generally treated as a tax-deductible expense for the plan sponsor, if the fee is paid directly from company assets.

iQ401k Fees vs Industry Fees

OUR SERVICES

Act in ERISA 3(38) or 3(21) Fiduciary capacity

Plan designing

Create and maintain Investment Policy Statement

Create and maintain investment lineup

Create and manage Asset Allocation Models

Provide investment advice for plan participants

Conduct plan participant risk evaluations

Monitor plan activities

Provide quarterly monitoring reports

Conduct periodic reviews with plan fiduciaries

Assist plan fiduciaries with selecting service providers

Provide annual fee benchmarking reports

VIEW ALL SERVICES

	iQ401k	Other Investment Managers
Flat-Fee Structure	Yes	% of Assets Under Management
Fee Payment	Outside of Plan Assets	From Plan Assets
Open Architecture	Yes	Mostly Bundled
Investment Lineup	40 to 50 Funds	10 to 15 Funds
Institutional Funds	Yes	Mostly Non-Institutional
Low-Cost Funds	Always	Above Average Expense Ratios
SDBAs	Always	Majority Do Not
Plan Website	Yes	No