Lincoln’s BD 401(k) Platform Combines Professional Management, Fiduciary Protection

Retirement ‘boot camp’ to provide reps with 401(k) education

Lincoln Trust is launching a retirement plan solution for broker-dealers that combines 3(21) fiduciary protection and an investment lineup of risk-based asset allocation models.

Model(k) “is designed exclusively for broker-dealers whose reps are selling 401(k)s without being beholden to traditional providers like insurers or mutual fund companies that have embedded fees,” Tom Gonnella, executive vice president for Lincoln Trust, told AdvisorOne on Thursday. It will be available to broker-dealers serving the small to midsize plan market as of March 4.

Model(k) provides professional fund management, in addition to fiduciary protection. It offers a multiple money manager model as well as a core menu lineup, Gonnella said.

The platform evolved from solutions Lincoln built for two of its broker-dealer clients, Gonnella said, adding that another 20 have expressed interest.

“There’s no provider that offers professional money management with open architecture in a cost-effective manner,” Gonnella said.

Among the technological assistance the platform provides is a pre-screened fund universe, year-end preparation, a participant call center and quarterly investment option reporting.

Lincoln will also provide retirement education through its 401(k) Academy. “This is new for us,” Gonnella said of the Academy. “Broker-dealers don't like their reps to have any implication of fiduciary in 401(k)s.” The Academy, he said, is a retirement “boot camp for broker-dealer reps.”

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