The Pension Protection Act of 2006 allows for use of target date funds, target risk funds, and balanced portfolios as a QDIA. The FIT Balanced Portfolio complies with these requirements.
How will my compensation be impacted?
FIT compensation is paid on a monthly basis. Qualified Plan Advisors (QPA) can perform side-by-side comparisons of our traditional portfolios to FIT. The plan level fee is partially fixed to use FIT (i.e. $5,000 flat fiduciary fee + 0.15% participant service fee).
What enhancements will be offered to my clients as a result of implementing FIT?
For the vast majority of our clients, the efficiencies result in lower cost for participants. Performance is uniform across all record-keeper platforms. Returns are tracked through Morningstar. Fact sheets are available for each share class on a quarterly basis.
How are the returns compared to the other models?
Though results could vary, the returns have consistently outperformed the traditional portfolios since inception in 2015. This can be attributed to the negotiation of lower fees for underlying investments, as well as superior trade execution.
Can I still use the old managed portfolios?
Yes, the long-term goal is to consolidate the vast majority of our clients into FIT. However, for some platforms and plans (such as 403(b)s), we will continue to offer core funds-based portfolios as collective trusts are not permitted in these plans.
What operational advantages exist?
 Rapid trade execution compared to the larger time frame we often experience with current record-keeper partners (i.e. where some trades can take months to execute).
 Aggregation of assets for superior buying power and access to investment offerings that are not available in a standard mutual fund platform.
 Returns are accurately tracked by Morningstar and can be easily compared to competitors in the market place.
Which share class can I use?
Class A: 0.77% $0 to $20 million in total plan assets
Class B: 0.62% Greater than $20 million in total plan assets
Class C: 0.52% Greater than $60 million in total plan assets
Class D: 0.42% Greater than $150 million in total plan assets