New Jersey Considers 403(b) Disclosure Bill
It appears that 403(b) disclosure is on the march. A bill that would require new disclosures in New Jersey, A5151
, has been filed by Assemblywoman Amy Handlin (R-Red Bank), the Deputy Republican Leader of the Democrat-controlled Assembly.
A5151 is more or less a carbon copy of the 403(b) disclosure bill
that the Connecticut legislature
passed this summer, simply requiring that any person who administers a 403(b) for public school employees to disclose to each participant at enrollment and once annually thereafter:
1) the fee ratio and return, net of fees, for each investment under the retirement plan; and
2) the fees paid to any person who, for compensation, engages in the business of providing investment advice to participants in the retirement plan either directly or through publications or writings.
Just like the Connecticut bill, it does not offer specifics as to enforcement or guidance on the proper execution of such disclosures, which suggests that state regulators may need to take some additional action to implement it fully.Ray Harmon is Government Affairs Counsel for the American Retirement Association.