Help - Custodian for Employee Fiduciary Transition

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Help - Custodian for Employee Fiduciary Transition

Post by Portfolio7 » Thu Jul 19, 2018 12:52 pm

I'm not sure if this is the best place to post my question, so mods, please move as appropriate.

My wife's very small firm (she is a partner) is moving to Employee Fiduciary to administer their 401K program (they are fairly generous with their employees for such a small firm.) This is all new to her, so the newbie question she has revolves around the EF custodian, Matrix Trust Company, a subsidiary of Matrix Financial Solutions. She knows nothing about them or what she should do (if anything) to vette them? i.e. is there really nothing worth her time to check out, or would it be wise to confirm things like perhaps how well trading and investment changes are processed (timely and reliable), or possibly liability in the case of malfeasance etc.... we're kinda twisting in the wind.

I suspect there is insurance to cover asset risks, and the company seems to do what they do for a reasonably large pool of assets, but I also came across this on one site about a transition from one plan to another (Matrix was not involved), "During the blackout transition, nearly every employee lost a considerable amount of money. The "Trustee" advised us that during the blackout he had a right to invest the funds and that the investments lost money.." So I guess that's one thing we can check on, and I appreciate any other thoughts, many thanks!
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