Testimony on Understanding Brokerage Windows in Self-Directed Retirement Plans

This document is about the testimony of attorneys Fred Reish and Bruce Ashton from Faegre Drinker Biddle & Reath LLP on the topic of brokerage windows in retirement plans. They recommend that the Department of Labor issue guidance on: (1) defining what constitutes a brokerage window; (2) the factors plan sponsors should consider in deciding whether to offer a brokerage window; (3) the factors to be considered in selecting and monitoring a brokerage provider; (4) the information that must be disclosed to participants about brokerage windows; (5) whether recordkeeping expenses should be allocated to brokerage window users; and (6) fiduciary responsibilities for monitoring brokerage window investments.