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Recommend Replacement – the fund is no longer considered suitable as a retirement plan
investment. The fund should be dropped from the list of investment offerings.
Funds are not placed on our Watch List solely by way of a static formula, meaning there is an
element of subjectivity that we believe is essential to our investment process.
Watch List funds remain for a period of three (3) months to one (1) year, depending on the reasons
and the amount of time needed to reverse or stabilize the problem.
8. What is the basis for terminating a fund? Describe the process.
If a fund on our watch list is not improving, CBIZ RPS will recommend a discussion with the plan
Committee around a replacement for that investment. We typically recommend mapping assets and
contributions to the new fund.
As reflected above, in the case that CBIZ RPS’ due diligence team recommends replacement of a
specific investment option, CBIZ Retirement Plan Services will:
1.
Coordinate with the vendor(s) the available replacement option(s)
2.
Discuss any potential pricing/revenue conflicts that are foreseen
3.
Conduct due diligence on 3-5 alternatives for the client’s review
4.
Make a formal recommendation (in writing) to the Investment/Retirement Plan Committee
and document the process
5.
Work with vendor(s) to ensure communications are completed, timely, and appropriate so
that participants are aware of any upcoming changes, as applicable to required
notification procedures
6.
Leverage any onsite education needs for the new option(s)
7.
Confirm that the investment change has been conducted and that there are no assets left
in the previous investment option
8.
Document process for submission of changes back to executive level committees/Board
based on Pike’s hierarchy
9. Please describe the procedures your firm employs in recommending new or additional
funds.
CBIZ RPS recommends competitive investment products that best suit our client’s needs based on
rigorous research process and due diligence. The following infographic reflects the comprehensive
process our Investment Consulting Team follows when conducting a manager search:
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