New Models for SDBAs in 2022!

Early next year we will be launching new models for Self Directed Brokerage Accounts (SDBAs).

We will be offering fully tactical Exchange Traded Funds (ETF) strategies, as well as our strategic models.

We will also be offering Environmental, Social and Governance (ESG) strategies for the very first time!

With SDBAs, a participant has more control of the investments that they can use. SDBAs allow an investor to use more than just the “Core” fund lineup offered by the plan, while keeping the money within the plan but in a “brokerage window”.

This also allows us to use ETFs and other securities, instead of the typical mutual funds included in many plans. A SDBA also does not usually come with the strict “short term” trading rules that many plans impose.

This allows a participant to be more proactive in the management of their account.

And this is what is really exciting . . .

We have created the new strategies in preparation of the largest defined contribution (DC) in the country making changes to their plan next year. The Federal Thrift Saving Plan (TSP) will be offering a SDBA to all of their participants.

For the very first time, the six million plus federal employees will have more than their five “core” options to use. The SDBA will allow every federal employee using the TSP many more strategies and a lot more diversification.

So, come next year, we will have options for every federal employee and the 40% of 401k plans that allow for SDBAs*

Plan Confidence will now be able to expand it’s advice menu beyond the “core” lineup offered by every plan for the first time!

We are super excited that we will be able to better serve every one of our clients, including those that want to use ESG and more proactive tactical strategies.

2022 is right around the corner and we are excited about our expanded offerings. And we hope that you will be too.

Stay confident my friends!

-Kevin T Clark, RF

CEO & Co-founder

* https://www.kiplinger.com/retirement/retirement-plans/401ks/602240/does-your-401k-come-with-a-self-directed-brokerage-account