Fidelity Sued Despite Offering 7% 401(k) Match

Brokers, Investing
  • More information regarding the lawsuit brought by Fidelity employees over the investment firm’s 401(k) plan: While Fidelity offers more than 150 investment options, nearly 85% of those plan’s assets are held in actively managed Fidelity funds. That said, the firm provides an 100% employer match for up to 7% of a worker’s salary and typically makes annual profit sharing contributions as well. There have been a slew of lawsuits in recent years claiming that companies are violating their fiduciary responsibility to act in the best interests of their employees – Wells Fargo, Walmart, and Merrill Lynch all reached multimillion dollar settlements with their employees in 2011 over excessively high fees in their 401(k) plans.
  • TD Ameritrade held their annual Investor Education Conference. Two of the most highly anticipated learning topics among attendees were portfolio strategies, followed by how to use options.