PLANTOOLS AND KLEIN DECISIONS TO JOINTLY DELIVER DECISION SUPPORT
AND MONITORING SERVICES TO 401(k) PLANS
Emeryville, CA --
June 15, 2005 --
401(k) Investment Policy & fund Selection Decisions with Analysis of the
Investment and the Investor
The McHenry Group announced today that its
subsidiary PlanTools, LLC and Klein Decisions, LLC will jointly develop
risk management and decision support solutions to be offered through its
PlanTools™ Risk Management System.
The PlanTools™ Risk Management System helps retirement plan sponsors conform
to recognized prudent fiduciary practices in managing defined
contribution plans. PlanTools and Klein Decisions™ will partner with
Klein Decisions™ to integrate tools that provide plan sponsors and their
advisors with access to the K4™
Preference Assessment Process.
Based in Raleigh, NC, Klein Decisions has developed an exclusive methodology that
utilizes proven research techniques to precisely quantify an investor’s
preferences, goals, and beliefs, and than applies that insight to the
investment decision process. Klein Decisions offers a range of decision
support tools that not only improve investor decisions and increase
investor satisfaction, but also facilitate corporate risk management.
Led by Robert L. Padgette, CFA, CIMA, Klein’s experienced investment and
technology experts have developed a family of easy-to-use tools that
help investors match their goals, beliefs, and preferences to the most
suitable investment strategy.
“Bob Padgette is a legend in this business,” said Ward Harris, founder and
Managing Director of The McHenry Group. “He and his team have a proven
track record in building successful, technology-based solutions for
financial institutions.”
“Support for fiduciary decisions is a critical deliverable in today’s retirement
financial service marketplace. We are very happy to join PlanTools™ to
help deliver institutional quality, industrial strength solutions to
serve 401(k) plans and plan participants,” said Padgette.
Increasing public attention on mutual fund and plan governance has created a real
and long-lasting demand for retirement plan services that provide
objective, systemic solutions to retirement plan decisions. McHenry has
a history of delivering institutional decision-making and reporting
services to retirement plan service providers.
Early work on integration of the two firms’ solutions has been well received by
selected advisors. “We have worked with Ward and the PlanTools team for
several years and have known of Bob since he founded the Mobius Group,”
said Al Otto, Co-Founder of White Horse Advisors, an Atlanta-based
retirement consulting and advisory firm. “The combination of PlanTools
and the K4 system will make it easier and safer for plan sponsors, participants and
advisors to make more effective investment decisions.”
The PlanTools service platform was created to help advisors & institutions support
their retirement plan clients with solutions that help manage
compliance, brand & relationship risks for service providers.
Plan sponsors benefit from systems that support the four cornerstones of a
sound investment compliance program which can be termed the “Four Ps”:
- POLICIES-- Written investment policy statement (IPS) with fund selection and retention standards.
- PROCESSES-- Decision system for analyzing and selection plan investment managers.
- PROCEDURES-- Integrated quarterly reporting for
oversight of on-going plan investment performance that is based
upon the standards laid down in the IPS.
- PRACTICES-- Remediation methods for management of funds whose performance represent exceptions to the stated
objectives of the plan.
This combined solution helps answer some
key questions plan sponsors should ask and answer on a regular basis:
“What do we know?”– What have our funds done this quarter and over time?
“How are we doing?”– Did they meet or exceed our minimum requirements?
“What should we do?”– Should we replace a fund that has not performed over time?
“When should we take that action?”– How much time do we give the manager before action?
For an article on fiduciary practices from
the Journal of The American Society of Pension Professionals & Actuaries (ASPPA), visit
www.plantools.com/ASPPA.pdf.
Harris and Padgette will discuss solution integration for fiduciary reporting on a panel at the Retirement Savings
Summit hosted by Financial Research Associates. The event will be held in Cambridge, MA on July 25-26, 2005. For more information, visit
www.frallc.com/managed.asp#b276.
Klein Decisions was founded in 2002 by Robert L.
Padgette, CFA, CIMA, to develop and implement leading-edge tools and
applications that allow investment professionals and investors to improve
the decision-making process. By providing crucial insight into individual
investor preferences and expectations, Klein’s tools and applications
enable users to make more appropriate investment decisions, thereby
increasing investor satisfaction and helping to build successful investment
programs.
From their headquarters in Raleigh, North Carolina,
Klein’s team of experienced investment and technology experts
continue to add to and refine their suite of web-based tools that utilize
Klein’s patent-pending process to assist with the ever-increasing
complexity of the investment decision process. www.kleindecisions.com
The McHenry Group, LLC provides comprehensive business consulting and advisory services with a simple mission – to help clients manage risk and return – while satisfying regulatory, legal and business requirements for compliance oversight of investment operations. McHenry’s clients include banks, mutual funds, insurance companies, broker dealers and retirement service providers. PlanTools, LLC is a wholly owned subsidiary that provides technology-based investment reporting or advisory services. For more information, visit www.mchenrygroup.com.
