NPPG Plan Professionals, LLC (NPPG), an industry-leading Pooled
Plan Provider in the pooled employer plan space announced it has
successfully met the required prerequisites and has registered as
an investment adviser with the Securities and Exchange Commission
(SEC). NPPG currently serves as PPP for 20 Pooled Employer Plans
(PEPs) that collectively hold billions of dollars in plan assets.
NPPG considers such SEC registration to be both required and the
most prudent way to protect client interests when a PPP's role and
responsibilities encompass both administrative and investment
fiduciary activities of the plan.
SHREWSBURY, N.J., July 11,
2024 /PRNewswire-PRWeb/ -- NPPG Plan Professionals,
LLC (NPPG), an industry-leading Pooled Plan Provider in the pooled
employer plan space announced it has successfully met the required
prerequisites and has registered as an investment adviser with the
Securities and Exchange Commission (SEC). NPPG currently serves as
PPP for 20 Pooled Employer Plans (PEPs) that collectively hold
billions of dollars in plan assets. NPPG considers such SEC
registration to be both required and the most prudent way to
protect client interests when a PPP's role and responsibilities
encompass both administrative and investment fiduciary activities
of the plan.
Given the obvious motivation by adopting
employers to reduce risk, we believe it is in every client's best
interest to avoid uncertainty around this requirement.
Since 2020, approximately 70 entities have registered with the
Department of Labor as Pooled Plan Providers, of which about 40
offer some combination of investment management, investment advice,
and investment products.1 It is understood that PPPs
performing investment fiduciary services have a duty to confirm
their compliance with either state or SEC regulations.2
Adopting employers can look up the registration status of their PPP
using the SEC's Investment Adviser search or by using FINRA's
Broker Check.
"We believe it is incumbent upon any PPP who delivers a
comprehensive investment and plan administrator fiduciary solution
to be an SEC registered investment adviser," said Michael M.
Salerno Founder and CEO of NPPG. He added, "In our view and that of
our attorneys, it is requisite to the role we play and, frankly,
makes sense from a fiduciary perspective to protect adopters and
their participants."
Salerno continued, "We recognize many PEP providers and
employers may not have contemplated this requirement yet. Given the
obvious motivation by adopting employers to reduce risk, we believe
it is in every client's best interest to avoid uncertainty around
this requirement."
Since 2021, the Setting Every Community Up for Retirement
Enhancement (SECURE) Act has expanded access to retirement plans
for companies of all sizes through the birth of PEPs. By their
structure and operation, PEPs can achieve economies of scale that
reduce administrative costs and mitigate fiduciary liabilities
inherent with 401(k) retirement plans. As the named plan fiduciary,
the Pooled Plan Provider (PPP) is responsible for plan governance
which includes the selection of service providers and oversight of
service delivery.
About NPPG Plan Professionals, LLC, an Affiliate of National
Professional Planning Group (NPPG)
NPPG and its affiliate companies have been servicing clients
since 1997 with their employee benefit and retirement plan needs.
The NPPG family of companies services more than 7,000 plans,
250,000 participants, and more than $8
billion in plan assets nationwide including Puerto Rico. NPPG offers a full suite of
services including, Pooled Plan Provider services, ERISA 3(16)
administrative fiduciary services, actuarial services, retirement
plan third-party administration for various plan structures
(including Multiple Employer Plans (MEPs) and PEPs), institutional
investment fiduciary services, and regulatory consulting. NPPG
customizes solutions to meet the business and financial goals of
its clients, which include members of the New York Stock Exchange
and NASDAQ, internationally-known non-profit organizations, Fortune
500 companies, and government agencies, as well as small
entrepreneurial businesses, associations, and Professional Employer
Organizations (PEOs). For further information, visit www.nppg.com
or call 1-(800) 340-5160.
Important Disclosures
NPPG and its affiliate companies are not law firms and do not
provide legal services. Legal advice should be sought from a
qualified professional. Opinions on investment adviser registration
are those of NPPG and its principals as of the date of publication
and are subject to change without notice. Statements regarding firm
clients should not be construed as testimonials or endorsements of
NPPG, its affiliates, or their respective personnel and should not
be used as the sole determining factor when determining to hire,
retain, or terminate an investment adviser and/or pooled plan
provider.
1 NPPG analysis of Form PR registration filings on US
Department of Labor EFAST website. Accuracy of these counts is
estimated but cannot be assured.
2 Subject to state law, representatives of registered
investment advisers are generally required to pass certain exams.
This is a separate process from the actual act of registering as an
investment advisory firm with the SEC, which alone does not imply a
certain level of skill or training.
Media Contact
Alan Gross, NPPG Plan
Professionals, LLC, 1 9047355358, alan.gross@gsm.marketing,
https://www.nppg.com/
View original content to download
multimedia:https://www.prweb.com/releases/pooled-plan-provider-nppg-announces-sec-registration-as-an-investment-adviser-302193267.html
SOURCE NPPG Plan Professionals, LLC