September 1, 2007

THANKS, W:

Wrestling For The 401(k) Purse: Funds and insurers are vying over $90 billion that a new law may funnel to investment plans (Business Week, 9/10/07)

It's the battle royal of retirement. Last August, Congress passed the Pension Protection Act, which encourages companies to sign up employees for 401(k) plans automatically. Since then, mutual fund firms and insurers have been clashing over which investments should get the Labor Dept.'s stamp of approval.

A lot's at stake. Roughly a third of eligible employees don't participate in their 401(k) or other defined-contribution plans. The new rules, designed to combat that inertia, could bring investment managers an extra $90 billion in retirement assets—and the annual fees generated by that business.

Posted by Orrin Judd at September 1, 2007 7:38 AM
Comments

I hope that ETF's will also be considered by the Labor Dept. Mutual funds will become passe before long, and for good rea$on.

Posted by: Genecis at September 1, 2007 8:59 AM
« IT'S NOT WAR, IT'S CANDLEPINS: | Main | GIVE US A KING: »