Category Archives: Fiduciary Advisor

401(k) Plan Litigation, 401(k) Plans, Defined Contribution Plans, Employee Retirement Income Security Act of 1974, ERISA, Fiduciary Advisor, Roth & Traditional IRAs and 401(k)s, Roth Contributions, Roth vs. Traditional Contributions, Selecting a 401(k) Plan Investment Advisor, Selecting an Investment Advisor

Strategic Considerations for Implementing a Roth 401(k) Option

Posted on by Matthew Rice
10
Aug

 

For 401(k) plan fiduciaries, the objective is clear: to provide a robust, well-managed retirement savings vehicle that maximizes participant outcomes. In this pursuit, the Roth 401(k) option stands out as a critical component, offering distinct advantages that warrant careful consideration in plan design discussions. While traditional 401(k) contributions offer immediate tax deferral, the Roth 401(k) paradigm shifts the tax burden to the present, enabling qualified withdrawals in retirement to be entirely tax-free.

This document outlines the strategic rationale for incorporating a Roth 401(k) contribution option into your plan, alongside key considerations for fiduciaries.

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Alternative Investments, Endowments, Endowments and Foundations, Fiduciary Advisor, Foundations, Nonprofits, Selecting an Endowment or Foundation Investment Advisor, Selecting an Investment Advisor

The Big Beautiful Bill: Why This New Tax Law Is Reshaping Endowment and Foundation Investing

Posted on by Matthew Rice
29
Jul

 

The financial world for endowments and foundations just got a wake-up call. The “One Big Beautiful Bill Act,” or OBBB, signed into law on July 4, 2025, isn’t just another piece of legislation—it’s a fundamental change to the economics of large-scale charitable investing. Starting in 2026, a new excise tax regime will profoundly impact how major institutions manage their portfolios, a change that will have an immediate and compounding effect.

Important clarification: The OBBB Act specifically targets private foundations and university endowments. Donor-advised funds (DAFs), community foundations, and operating charities are NOT affected by these new excise tax rules. These charitable vehicles continue to operate under the previous tax framework and remain exempt from the progressive rate structure described below.

For any private foundation or university endowment with assets over $50 million, this isn’t a minor adjustment; it’s a call to action. The drag on returns will snowball, impacting future grants and mission-driven spending. Here’s a deep dive into what changed, why it matters, and the advanced strategies you can use to respond.

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Chicago Area Investment Advisor, Fiduciary Advisor, IRA Contributions, Roth Contributions, Roth IRA Conversion, Roth vs. Traditional Contributions, Selecting a Private Wealth Investment Advisor, Selecting an Investment Advisor

The Roth IRA Conversion Conundrum: Is It Right for Your Retirement?

Posted on by Bill Seyfarth
28
Jul

 

Deciding what to do with your retirement savings can feel like navigating a maze. Among the many financial choices, converting a traditional IRA to a Roth IRA stands out as one with significant long-term implications. It’s a move that can fundamentally reshape your retirement income and tax picture for decades to come. So, how do you know if making the switch is the smart play for your future? Let’s break down the compelling reasons why a Roth conversion might be a brilliant strategy, and why, for some, it might be a step to reconsider.

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401(k) Plans, 403(b) Plans, Defined Contribution Plans, Employee Retirement Income Security Act of 1974, ERISA, Fiduciary Advisor, Non-Fiduciary Advisor, Selecting a 403(B) Plan Investment Advisor, Selecting an Investment Advisor

The 403(b) Revolution is Coming: What Fiduciaries Must Know About CITs

Posted on by Matthew Rice
21
May

The retirement landscape for millions of public sector and non-profit employees is on the cusp of a groundbreaking shift. For years, 403(b) plans—the retirement vehicles for teachers, hospital workers, clergy, and many non-profit staff—have operated with a significant disadvantage compared to their 401(k) counterparts. But a recent legislative breakthrough in Washington D.C. is set to change that, potentially unleashing a wave of benefits for participants and new responsibilities for plan fiduciaries.

On May 20, 2025, the U.S. House Financial Services Committee advanced H.R. 1013, aptly named the “Retirement Fairness for Charities and Educational Institutions Act of 2025.” This isn’t just another piece of legislative jargon; it’s a bill that, if passed, will open the door for 403(b) plans to invest in Collective Investment Trusts (CITs) for the very first time.

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Cash Balance Plans, Defined Benefit Plans, Employee Retirement Income Security Act of 1974, ERISA, Fiduciary Advisor, Non-Fiduciary Advisor, Pensions, Selecting a Pension Plan Investment Advisor, Selecting an Investment Advisor

Cash Balance Plans: The Hybrid Solution Powering Retirement and Tax Savings

Posted on by Matthew Rice
20
Apr

 

The world of retirement planning is constantly evolving, and for business owners and high-earning professionals, the quest for strategies that maximize savings, slash taxes, and offer robust flexibility is more critical than ever. If you’ve been searching for a game-changer, allow us to introduce you to the cash balance plan – a powerful, yet often overlooked, retirement vehicle that masterfully blends the best features of traditional pensions and modern 401(k)s.

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529 Plan, Bright Start 529, Chicago Area Investment Advisor, Fiduciary Advisor, Hinsdale Investment Advisor, Selecting a Private Wealth Investment Advisor, Selecting an Investment Advisor

Unlocking Education: Your Essential Guide to 529 Investing for Illinois Families

Posted on by Bill Seyfarth
02
Apr

The dream of a quality education for our children is universal, but the reality of rising college costs and a mountain of student debt can feel overwhelming. If you’re an Illinois family, however, you have a powerful and often underutilized tool at your fingertips: the state’s 529 college savings plans.

This isn’t just another savings account; it’s a strategically designed, tax-advantaged pathway to a brighter educational future. Let’s dive into why 529 investing, especially in Illinois, is a game-changer for families.

What Exactly Is a 529 Plan?

Think of a 529 plan as a special savings vehicle for education. Named after a section of the IRS tax code, these plans are sponsored by states and offer incredible financial benefits. They’re incredibly versatile, covering everything from college tuition and fees to K-12 private school tuition, apprenticeship program costs, and even up to $10,000 in student loan repayments per beneficiary.

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Alternative Investments, Fiduciary Advisor, Hedge Fund Strategies, Hedge Funds, Liquid Alternatives, Liquid Alts, Selecting an Investment Advisor, Wealth Management

Liquid Alternatives: A Smart Play for Your Portfolio? (And How They Differ from Hedge Funds)

Posted on by Sean McEvilly
14
Feb

 

In today’s dynamic investment landscape, many investors are looking beyond the traditional 60/40 stock-bond portfolio. Enter liquid alternatives – an increasingly popular option designed to offer sophisticated strategies with the flexibility and accessibility you expect from mutual funds or ETFs. But are they a viable strategy for your portfolio? Let’s dive into their potential benefits, drawbacks, and critically, how they compare to traditional hedge funds.

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401(k) Loans, 401(k) Plan Litigation, 401(k) Plans, Active Versus Passive Management, Defined Contribution Plans, Employee Retirement Income Security Act of 1974, Employer Match, ERISA, Fiduciary Advisor, Non-Fiduciary Advisor, Pensions, Roth vs. Traditional Contributions, Selecting a 401(k) Plan Investment Advisor, Selecting an Investment Advisor

Crafting Your 401(k) Investment Policy Statement: Your Roadmap to Retirement Success

Posted on by Matthew Rice
18
Sep

 

Running a 401(k) plan comes with significant responsibility. As a fiduciary, you’re tasked with safeguarding your employees’ financial futures, a role that demands careful planning and unwavering diligence. While it might sound like another piece of corporate jargon, a well-crafted 401(k) Investment Policy Statement (IPS) isn’t just a document—it’s your strategic blueprint.

Think of the IPS as the compass guiding your plan’s investment journey. It helps you navigate fiduciary duties, maintain consistency, and, most importantly, demonstrate procedural prudence under ERISA (Employee Retirement Income Security Act). And while it’s not legally mandated, it’s widely considered a best practice and often a key request during regulatory audits.

Ready to build your plan’s financial fortress? Here’s your step-by-step guide to writing an effective IPS:

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