First Trust Corp. of Denver has created a program whereby employers can offer employees as many as 2,000 mutual funds from 200 fund families for their 401(k), 403(b) or 457 savings plans. First Trust is calling the new program OptionsPlus.
Traditional employer-sponsored retirement plans usually offer only 10 choices, said Gary Bush, a product manager at First Trust.
To join OptionsPlus, employees would not have to pay transaction fees or commissions. They would only pay an annual administration fee, with the amount based on the contract agreement with the employer.