3(38) Fiduciary

Plan Sponsors receive a greater level of investment liability protection possible under ERISA when hiring an RIA firm to act as a 3(38) fiduciary under the IRS Code.  Engaging a 3(38) Investment Manager transfers the responsibility and risk associated with the selection and monitoring of the plan’s investment options.

When a plan sponsor selects PSI as a 3(38) investment manager, clients can expect us to check all of the required boxes that are required by government agencies such as the IRS and Department of Labor.  We have a proven analytical process that influences how we prepare the Investment Policy Statement  for your plan to abide and document the process of maintaining a suitable investment selection.

While engaging a 3(38) Fiduciary provides the most liability protection, it doesn’t absolve a plan sponsor completely of all investment fiduciary responsibilities. In the end, it is the plan sponsor’s fiduciary duty to select a suitable and prudent 3(38).