401(k) Asset Allocation Models – SMAs
iSectors® 401(k) Program – Investment Vehicle Options
iSectors offers a comprehensive suite of ETF-based asset allocation models available for use in 401(k) plans. Utilizing Mid Atlantic Trust Company’s ModelxChangeTM platform, along with your preferred TPA and record keeper provider, iSectors ETF-based model portfolios can help you provide a fully diversified, cost effective offering of investment solutions to your 401(k) clients.
iSectors professionally managed investment allocations enable advisors and Plan Sponsors to create customized, unbundled, 401(k) plan solutions that meet the various risks and return needs of Plan participants. The iSectors allocations also reduce overall plan costs compared to many actively-managed mutual fund or group annuity-based plans.
iSectors specifically offers a series of five globally allocated models suitable as retirement plan default investment selections for participants of various risk – return needs and age classifications. This allows you to map participants directly into a complete, fully diversified model appropriate for their goals and risk tolerance using your questionnaire or our assessment tool.
The iSectors 401(k) plan can be utilized in an open-architecture structure, from which an array of strategic and tactical/dynamic allocations can be implemented. Besides core equity and fixed income portfolios, the iSectors Capital Preservation, Inflation Protection, Precious Metals, Liquid Alternatives, Endowment, and Tactical Global Balanced Allocations can be selected as satellite strategies by Plan Sponsors that prefer a more creative offering of investment selections for their participants.
The iSectors Allocation Models available for use in 401(k) Plans include:
- iSectors Domestic Equity Allocation
- iSectors Global Allocations (5 models)
- iSectors Endowment Allocation
- iSectors Post-MPT Growth Allocation
- iSectors Post-MPT Moderate Allocation
- iSectors Tactical Global Balanced Allocation
- iSectors Inflation Protection Allocation
- iSectors Liquid Alternatives Allocation
- iSectors Precious Metals Allocation
- iSectors Capital Preservation Allocation
The iSectors® 401(k) Plan Features and Benefits:
- 14 Allocation Models that allows you to construct investment selections tailored to the needs of each plan.
- Use of ETFs that improves transparency and reduces costs when compared to many actively managed mutual funds and group annuities.
- Low model costs (management fees range from 30-50 bps annually).
- MidAtlantic Trust Company’s ModelxChangeTM and ETFxChangeTM programs offer unlimited low cost trading.
- Your preferred TPA and/or Record Keeper.
- ERISA 3(38) fiduciary services available. For a nominal fee, the ERISA 3(38) fiduciary role of selecting the investment lineup for your Plan client(s) can be outsourced. This reduces your Plan client’s fiduciary responsibility and allows registered reps to meet requirements imposed by their B/Ds that require a fiduciary be involved in their 401(k) business.
- For more information about ERISA 3(38) services, view a sample proposal, or to request a proposal for a specific plan, click HERE
401(k) Literature for use with Plan Sponsors or Participants:
- iSectors 401(k) Solution Qualified Plan Brochure
- Unbundled Solutions Summary
- Costs of Group Annuities
401(k) Literature for use with Plan Participants: