1. For Plan Sponsor Use Only - Not for Use with Participants or the General Public.
Securities offered through LPL Financial. Member FINRA/SIPC
Focused on Your Success
Retirement Plan Consultation
Overview of Services
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Independent, full-service
institutional retirement
consulting and advisory firm,
founded in 1983
Specializing in all areas of
retirement plan consulting,
participant education and
investment analysis
20+ advisors and support
staff to meet client needs
Washington Financial Group
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Our Team
Team Lead: Joseph F. DeNoyior, CRPS®, AIF®, C(k)P
Retirement Plan Specialist: Colin M. Clark, MBA, AIF®
Retirement Plan Specialist: John Edelbrock, MBA, CRPC®, CRPS®
Retirement Plan Specialist: Thomas Leverone, MBA
Director of Client Services: Charlotte Kanka
Director of Investment Strategy: Jay Sanford
Director of Operations: Jeffrey Pincus
Investment Specialist: Mark Jensen
Operations Assistant: Traci Simons
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Representative Client List
It is not known whether the listed clients approve or disapprove of the advisory/brokerage services provided.
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Best Practices Approach
Fiduciary Investment Review
top-tier investment
opportunities
Provider Analysis
exceptional service provider
High-Touch Education
prepared participants
Fiduciary Plan Review
protected fiduciaries
Fiduciary Report Card
RFP Vendor
Analysis &
Benchmarking
Fiduciary
Fitness
Program
Employee
Engagement
Investment
Due Diligence
Best in Class
Retirement Plan
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Maximizing Plan Efficiency
Plan Sponsor Use Only – Not for Public Distribution
Consulting AdministrationInvestments Communication
Plan governance
Provider search and
analysis
Cost analysis and
benchmarking
Contract review and
negotiation
Compliance review
DB plan termination
DC plan redesign
Deferred compensation
Internal audits and
quality assessments
Provider audits
Liaison with service
providers
Fiduciary guidance
Operational oversight
Data management
Impact of legislative
changes
Quality standards
Outsourcing programs
Trustee services
Asset allocation
modeling
QDIA funds review
Investment
analytics/search
Ongoing monitoring
Investment behavioral
analysis
Investment policy
statement audit
Fiduciary review
404(a), 404(c)
monitoring
Communication
strategy development
Replacement ratios gap
analysis
Participant behavior
monitoring and
measurement
Investment consulting
for executives
Group meetings
Employee education
services
Guidance vs. advice
components
Plan Sponsor ParticipantOur Continuum of Services
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Resources
RFP Analysis
Department
Operations
Department
Investment
Department
ERISA
Department
Financial
Consulting
Department
Investment
Department
Bi-Lingual
Department
Individual
Investment Advice
Department
Best in Class Retirement Plan
Plan Participants
Plan Fiduciaries
Plan Consultant
Communication Specialists
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Service Plan: Your Road Map
At the start of each relationship we set goals and objectives via a written
Service Plan. We then track the timing and frequency of each service
delivered and post all deliverables on our secure plan sponsor portal.
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Plan Benchmarking & Vendor Searches
“Benchmarking plan provider services, investment opportunities and total plan fees can overwhelm even the most
diligent plan sponsor. We shoulder the responsibility of a thorough market analysis, offering guidance and support
throughout the process.”
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Plan Design Optimization Report
Retirement
Readiness
Calculations
Retirement RISK
Calculations
Investment
Behavior Analysis
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Vendor Analysis
Fee Benchmarking and full Vendor Searches:
Meets fiduciary obligation to ensure
competitiveness within the marketplace
Improves decision-making for choosing a new
plan provider
VENDOR 1
Value Blend Growth
9 10 10 Large
10 10 9 Mid
10 8 10 Small
Int’l Global
Fixed
Income
9 10 10
Vendor
Score
9.58
VENDOR 2
Value Blend Growth
9 9 10 Large
7 7 7 Mid
9 9 9 Small
Int’l Global
Fixed
Income
10 10 10
Vendor
Score
8.83
VENDOR 3
Value Blend Growth
9 10 10 Large
7 9 10 Mid
7 9 10 Small
Int’l Global
Fixed
Income
8 10 10
Vendor
Score
9.08
VENDOR 4
Value Blend Growth
10 9 10 Large
9 9 10 Mid
9 8 9 Small
Int’l Global
Fixed
Income
10 10 10
Vendor
Score
9.42
Asset Class Assets
Assets
(%)
Fund
Exp.
Ratio
(%)
WAC (%) Cost
Large Blend 507,132$ 4.71 Calvert Social Equity A 1.29 0.06 6,542$
Large Growth 1,266,939$ 11.76 American Fds Gr Fund 1.09 0.13 13,810$
Large Value 1,313,137$ 12.19 Van Kampen Comstock A 0.90 0.11 11,818$
Mid Growth 1,033,520$ 9.59 One Group Mid Cap Gr A 1.24 0.12 12,816$
Mid Value 631,291$ 5.86 Lord Abbett Mid Cap Val P 1.00 0.06 6,313$
Small Blend 1,297,389$ 12.04 Small Cap Value A 1.27 0.15 16,477$
Int'l Stock 1,258,127$ 11.68 Templeton Foreign Fund 1.22 0.14 15,349$
Fixed Income 949,201$ 8.81 US Gov't Mortgage Fund 0.95 0.08 9,017$
Fixed Income 283,724$ 2.63 PIMCO Total Return 0.90 0.02 2,554$
Cash 2,235,154$ 20.74 Ready Asset Trust 0.63 0.13 14,081$
Total Assets 10,775,616$ 100
Total Mgmt. Exp 1.01 108,777$
Asset Fee 0.00 -$
Admin. Fees 0.45 48,500$
TOTALS 1.46 157,277$
Existing Plan Allocation/Assets ABC Client
Sample Cost Analysis excerpt
Sample Investment Ranking
Sample Vendor Comparison excerpts
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Report Components
Comprehensive Report
includes 350+ Data Points
balancing services,
investments and fees
Side by Side comparison for
a thorough perspective
Employs Quantitative and
Qualitative metrics
Costs
Investment
Management
Recordkeeping
Technology
Services
Employee
Communications
Compliance
Retirement
Plan
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Sample Vendor Investment Scorecards
Sample Report Excerpts
Total Cost Analysis
Integrated Investment Platform
Rankings for clearer analysis
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Investment Analysis
“Choosing and monitoring the appropriate investments offered in your plan is a serious fiduciary task, as it can impact
a participant’s retirement experience. Washington Financial Group provides independent investment analysis to assist
you with this important responsibility.”
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Prudent Process
Written Process
Regular Monitoring
Documentation
Proper Action
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An institutional approach which is
comprehensive and independent, utilizing a
well-documented process and methodology. Quantitative
Metrics
Investment
Menu
Qualitative
Metrics
Investment
Universe
(20,000+ investments)
Investment
Policy
Statement
Investment Selection
Our Scorecard system provides a proven process to monitor and
evaluate fund managers and investment strategies.
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Investment Review
Clients Rely on Our Investment Review Process to:
Features of our Services Include:
Scorecard System for Fund Ranking
Asset Allocation Fund Monitoring
Investment Analysis Reports
ENHANCE
Investment
Opportunities
MANAGE &
CONTROL
Risk
REDUCE
Exposure to
Fiduciary
Liability
Investment Policy Statement
Quarterly Market Summary
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The Fiduciary Investment
Review includes
recommendations for fund
additions, deletions and
replacements
Sample Scorecard Report Excerpts
Good 9-10 Points
Acceptable 7-8 Points
Watch List 5-6 Points
Poor 0-4 Points
Scorecard Point System
Investment Due Diligence
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Defined Benefit Investment Services
“Defined Benefit and Cash Balance Plans provide an effective additional solution to help drive outcomes and
retirement success — the ultimate goal of our business philosophy. Our unique investment process coupled with
strong fiduciary oversight further helps Plan Sponsors and their participants toward the goal of achieving a successful
retirement outcome.”
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Post-Modern Portfolio Theory
Minimum Acceptable Return (MAR): the minimum return a portfolio is able
to accept, or the minimum return required to achieve the client’s goals
Downside Risk Optimization (DRO): the optimization of a portfolio based on
an ideal combination of downside risk and return
DRO beats Mean Variance Optimization (MVO): financial asset returns are
non-normally distributed, at times MVO yields nonsensical results, investors
care about downside risk
Managing Funding Risk: returns below MAR create “actuarial losses” that
must be balanced against gains. DRO seeks to better define the downside
investment risk of the portfolio and diminish the funding risk to the Plan
Sponsor
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Defined Benefit Asset Allocation Policy
When Funding is Low: risk is justifiable, extent dependent upon client risk capacity, to
capture upside potential. As funding improves, upside marginally decreases while
downside remains constant
When Funding is High: objective shifts from appreciation to preservation by reducing
funding volatility, which is reflected in the pension investment portfolio
Addresses “Omission Bias”: human nature is such that risks associated with acts of
commission are perceived as more dangerous than the risks resulting from acts of
omission. Dynamic DB policy makes action the standard expectation, committee
members rely on the professional trustee to manage asset allocation proactively, on a
discretionary basis
De-Risking the Pension Plan: a Dynamic Investment Policy Statement establishes the
investment objective and funding ratio as impetuses for portfolio design, and manages
the decision timeline by adjusting the portfolio as certain funding levels are attained
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Sample Dynamic DB Asset Allocation Risk Matrix
Investment Objective
Allowed Equity
Range
Allowed Fixed
Income Range
Less than
71%
71% to 85%
86% to
100%
101% to
115%
Greater
than 115%
Fixed Income 0% 100% 0% 0% 0% 0% 0%
Income 15% to 35% 85% to 65% 35% 30% 25% 20% 15%
Income Primary 30% to 50% 70% to 50% 50% 45% 40% 35% 30%
Income & Growth 40% to 60% 60% to 40% 60% 55% 50% 45% 40%
Balanced 50% to 70% 50% to 30% 70% 65% 60% 55% 50%
Equity Target for Funded Ratio
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Defined Benefit Dynamic Asset Allocation Illustration
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Implementing Your LDI Strategy
Dynamic Asset Allocation to
support LDI
Work with actuaries to
obtain funding status on
quarterly basis
Adjust allocation based on funding
Minimize downside risk as plan approaches termination sufficiency
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Fiduciary Guidance
“CFOs, CEOs, Presidents and other fiduciaries have personal liability for assets in the company’s retirement plan.
It is crucial that plan sponsors partner with an independent firm specializing in services that reduce exposure to
fiduciary liability.”
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Fiduciary Fitness
Our Fiduciary Fitness program is an independent compliance tool to
measure the health of a retirement plan. The program provides resources
as a means to identifying potential weaknesses in your plan and remedy
through education, diligence and process.
Program Components:
Fiduciary Report Card
Demonstrates what plan
sponsors and fiduciaries
need to address and
documents plan
management
responsibilities.
Fiduciary Plan Review
Educates fiduciaries
regarding their
responsibilities, examines
plan design, and
documents prudent
processes.
Client Reference Guide
Graphs, charts and
checklists provide easy to
understand technical
guidance for the
completion of action
items contained on the
Report Card.
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Fiduciary Plan Review
Evaluates plan design and compliance issues
Charts participation, deferral rates and plan performance
Benchmarking of Total Plan Cost
404(c) Notice and Statement
Compliance Checklist
Fiduciary File Checklist
Investment Committee Charter
Ongoing Best Practices
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Meeting Summaries
After meeting with your
Committee, we prepare a
customized Executive
Summary detailing results
and action-items, providing
valuable documentation
required during plan audits
and inquiries.
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Education & Communication
“ Washington Financial Group delivers proactive consulting solutions that are comprehensive, compelling and
technically proficient. As a result, participants are better informed about asset allocation and risk tolerance, and
most importantly, better prepared for retirement.”
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Employee education and
communication
Help create plan/policy
for employee retirement
education and enrollment
Help participants stay the
course
Help participants convert
retirement savings into
income at retirement
Participant Solutions
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Service Solutions
Maximize benefits for
plan participants
Group and Individual Education Meetings
Employee Communication Strategies
Asset Allocation and Investment Guidance
Financial Planning
Bilingual Materials
Education Modules & Employee Memos
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Education Meetings & Webinars
Regularly scheduled
education meetings &
webinars to help plan
participants to be bettered
prepared and stay the course
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Newsletters
Quarterly Newsletters
keep Plan Sponsors
and Participants
abreast on the latest
retirement plan news,
participant education
topics, legislative
updates, and industry
trends
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Innovative Ideas
Fly
(Save)
Fly Higher
(Save More)
Fly Smoother
(Save Smarter)
Auto-Takeoff
Auto-Grounded
Auto-Turbulent
Auto-Smooth
Auto-Hold
Auto-Climb
The Retirement Plan Journey
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Why Hire Us?
We act as a fiduciary
We seek the best investments and consider cost in that determination
We provide impartial advice, and act with skill, care and diligence
We provide full and fair disclosure of important facts, including our
compensation from the providers of the products and services we offer
We are our clients’ advocate with plan recordkeepers and will seek to
manage any conflicts in our clients’ favor
We work side-by-side with plan actuaries to develop appropriate
investment strategies
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Focused on Your Success
“Washington Financial Group helps to protect plan fiduciaries from liability, while enhancing investment
opportunities and helping participants achieve financial security. We are proud of our commitment to
excellence, and invite you to see for yourself how our services make retirement plans better.”