Definition of "Section 404 (c) of the employee retirement income security act of 1974"
Rosemarie Averhoff, Real Estate Agent
RE/MAX Metro Associates
Section of the act stating that regulation requires employers to offer plan participants at least three diversified investment choices. Each choice must have materially different risk and return characteristics. Participants must be given the opportunity to switch from one fund to another on at least a quarterly basis. Also, employers must provide sufficient information for participants to make informed investment decisions.
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