Bloomberg Video Report: The Truth Behind Hidden Fees in 401(k) Plans

This is a pretty incendiary report on "401(k) fees" charged by firms such as John Hancock (mentioned in the report). Among other examples cited in the report is one against fees charged on the large 403(b) plan sponsored by the National Education Association (NEA) where fees allegedly approach over 12%! Greg Kasten, President of Unified Trust is also interviewed and quoted. Good stuff for the common investor to get educated on...

The Truth Behind Hidden Fees in 401(k) Plans: Bloomberg TV (click to open Windows Media file)

June 19 (Bloomberg) -- Bloomberg's Mike Schneider reports on the hidden fees that are eroding the value of 401(k) retirement accounts. Some 78 million Baby Boomers will be heading into retirement this year, many dependent on their 401(k) plans. What many will learn, according to the AARP, is the average balance for Boomers nearing retirement is $60,000, due in part to hidden fees that can, over a lifetime of savings, skim off more than half of a 401(k) investor's potential returns. (Source: Bloomberg)

00:00 Employee realization of undisclosed fees
10:41 Revenue-sharing fees; lawsuits; Wal-Mart plan
16:33 Brokerage fees; Ford's plan; obfuscation
22:29 Congressional inquiry; mutual fund opposition