Self-directed brokerage accounts are ideal for small business 401k plans because each 401k participant can select his or her investments for their retirement savings. Employers and plan trustees' fiduciary liabilities and responsibilities are significantly reduced because all investment decisions are made by 401k plan participants.
Unlike most traditional 401k plans, self-directed brokerage 401k plans relieve the employer of the responsibility and liabilities associated with "pre-selecting" a menu of "employer-approved" investments for inclusion in the company's 401k. With 401k Easy self-directed brokerage accounts, each individual plan participant makes independent investment decisions about how his or her 401k retirement savings are invested.
