How do employees feel about the G Plan’s simplicity?
Nearly all appreciate and understand how it will produce favorable results for them personally. In conventional 401(k) plans, many employees are troubled and frustrated that they have been forced to select their own investments. They intuitively know they are making mistakes that will cost them dearly in the long-run. G Plan participants do not experience these frustrations. However, a few employees (usually 5% or fewer) think the G Fiduciary approach is too different from what they have grown accustomed to, and therefore subtly resist it. Those who do not want to join the G Fiduciary Plan may remain in an existing plan if it continues to run in parallel. However, once employees understand that the G Fiduciary Plan uses Nobel Prize-winning investment portfolio strategies, and employs the prudent fiduciary practices defined by ERISA, they generally come to understand the benefits of its streamlined approach.
