Investment Policy for Defined Contribution

Policy development for defined contribution investment programs
Our process to develop and communicate investment policies, objectives, and guidelines is based on experience working with defined contribution plans. Our approach finds solutions to the unique issues of defined contribution plan administration.

The Investment Policy Statement records the oversight and objectives of the plan, including:

  • Delegation of responsibilities
    • Investment committee
    • Management and staff
    • Investment consultant
    • Plan administrator
  • Plan design features
  • Participant education and communication goals
  • Investment manager guidelines and evaluation criteria
  • Parameters for returns including market indexes to be used as performance benchmarks
  • Ongoing monitoring and controls

Upon reviewing these issues with you, we translate our knowledge into an Investment Policy Statement customized to meet your needs.

Review and supervise a defined contribution policy

The policy statement should be reviewed at least annually and revised if necessary. Revisions might be triggered by:

  • Investment lineup changes
  • Market indexes for performance measurement changes
  • Investment manager evaluation criteria changes
  • Additions and modifications of Qualified Default Investment Alternatives
  • Other reasons

Need an investment policy developed for your defined contribution program? Contact Ellwood.