Has anyone joined with another agency(s) to get lower participant Admin Charges and/or better investment options? In meeting with one of our deferred comp reps, we were told that our account (a couple million dollars) was too small for us to get the best Admin Charge rates. We (employees who participate) get charged 90 to 100 basis points per year on our account balances. We can probably get that lowered to 50 to 60 b.p.'s, but the large accounts of $50M or more can get 0 to 35 basis points. Also, large accounts can participate in their new program of "self-directed brakerage accounts". This would enable participants to invest up to � of their account balance into Charles Schwab's stock and mutual fund selections (about 150 choices) and realize the full benefit (yield) of their selection. No "manage the manager" fees. No 457 Provider admin charges. Just a $50 annual Schwab charge, and any trading charges if you select commissionable (loaded) stocks or funds. Naturally, we want it all - low/no admin charge and self-directed brokerage accounts. And one way to get it would be to pool/JPA with other 457 agencies to reach that critical mass (about 800 pounds, I think) where we can bargain/RFP for the best deal. I would be interested to hear if someone has done this, or has achieved these results in another way. Please respond by the 24th, and I will post results. Richard Averett Finance Director (650) 802-4205
