Advisory Opinion on Employer Receiving Fees from Mutual Funds

This document is about an advisory opinion from the U.S. Department of Labor regarding the application of ERISA's prohibited transaction provisions to an employer's receipt of fees from mutual funds in which the employer's pension plan invests. The Department concludes that the employer's receipt of such fees would not violate ERISA section 406(b)(3) if the fees are used solely to offset the plan's liability for the employer's provision of services to the plan and the plan is not otherwise obligated to pay the fees.