Outsourced CIO (OCIO) for defined contribution plan sponsors – making the right choice
Defined Contribution (DC) plans are becoming more crucial to the retirement welfare of workers. But with all the demands you and your staff face, your company may lack the time and resources to confidently keep up with investment oversight and changing regulatory requirements. As fiduciary specialists, we can help.
Plan sponsors: maintain control of what's important to you and delegate the rest
Outsourcing your DC plan allows you to retain control of strategic decisions about plan design, qualified default investment alternatives (QDIAs), asset class choices and active/passive styles. ERISA allows you to delegate functions such as investment manager selection, monitoring, and replacement, and recordkeeper management and oversight.
Selecting an OCIO provider for your defined contribution plan
Outsourcing for a DC plan can take many forms, from limited scope duties such as investment manager selection and monitoring to full plan management and administration. If you’ve decided that outsourcing certain fiduciary duties to a third party is the right decision for your plan, you must now select a provider. There are generally three types of firms providing outsourcing services.
Fiduciary duty, expertise, alignment and accountability: Benefit from a customized approach
Delegating some responsibilities to an independent third-party fiduciary like Russell Investments can potentially save you time so you can focus on what you do best and reduce your risk of fiduciary liability.
For more than 30 years, we have provided fiduciary management services to corporate retirement plans.
You can trust us to:
- Help you select and monitor investments suited to your participant demographics.
- Demand the best in recordkeeping vendors, finding the right service model, and ensuring fees are reasonable.
- Help you effectively educate and communicate with your participants.
As the top institutional investment outsourcing provider in the U.S.¹ and voted among the top firms for best manager due diligence practices for six straight years² we can help you simplify your day-to-day management of your defined contribution plan by providing you an added layer of fiduciary support, so that you can focus on your core business.
1 Russell Investments was ranked as the top global manager of institutional outsourced assets, out of 34 firms, in CIO Magazine" 2018 Outsourced-Chief Investment Officer Survey", based on the AUM from its fully discretionary clients.
2 In 2014, for a sixth year in a row, Russell Investments was voted among the top two for having the best manager due diligence practices by respondents in a 2014 FundFire survey of nearly 100 consultant relations professionals. Russell was rated as having the most rigorous due diligence process for evaluating a product's suitability in a client portfolio. In five of those years, we were ranked #1. FundFire discontinued their survey in 2015.