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Fidelity Launches Fiduciary Program to Support Retirement Advisors

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Fidelity recently launched a new program to help advisors meet their fiduciary responsibilities when advising retirement plan clients. Third-Party Fiduciary Services will connect advisors and plan sponsors with outside fiduciary expertise from one of three providers: Mesirow Financial, Morningstar Associates and Wilshire Associates.

The program will offer 3(21) fiduciary support through assistance with investment selection, fund monitoring, quarterly reporting, and recommendations for new investments to replace those that are no longer appropriate.

“Our new program enables advisors and smaller clients – often family businesses, startups and companies with limited staff – to spend more time helping employees take advantage of workplace benefits and less time on administrative details,” Ted Madden, senior vice president of sales for Fidelity Investments, said in a statement. “Fiduciary responsibility and liability protection require a high level of expertise. By offering a choice of third-party providers, our advisor and employer clients can align with the firm that best meets their specific fiduciary needs.”

The program will also support 3(38) managers for those sponsors that use those managers to make fund selection decisions for the retirement plan.

Mesirow is a Chicago-based fiduciary that outsources 3(21) and 3(38) services to recordkeepers, TPAs, broker-dealers, registered investment advisors, insurance and mutual fund companies.

Morningstar Associates is a subsidiary of Morningstar Inc. and a part of the Morningstar Investment Management group, which uses Morningstar’s proprietary data and resources to create custom investment solutions for its clients.

Wilshire Associates is a consulting and services firm founded in 1972. It provides services to over 500 organizations in more than 20 countries.

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