The U.S. House of Representatives has reintroduced a 401(k) fee disclosure bill, the fifth such bill to be considered by Congress.
The latest measure was proposed by senior Democrat Rep. Richard Neal of Massachusetts, who sits on the U.S. House of Representatives Ways and Means Committee. In introducing the bill, the Congressman emphasized that the fee information must be quarterly, unbundled, easily digestible and in plain English.
It should include a funds risk/return characteristics, historic rates of return alongside those of a benchmark and whether it is subject to any conflicts of interest such as fees to a consultant or administrator recommending or providing the fund to the 401(k) plan.
Neal introduced a similar bill in the previous Congress, as did House Education and Labor Committee Chairman George Miller (D-Calif.), Rep. Robert Andrews (D-N.J.), and Sen. Tom Harkin (D-Iowa).