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Equal treatment.

Publication: Pensions & Investments
Publication Date: 18-MAY-09
Format: Online
Delivery: Immediate Online Access
Full Article Title: Equal treatment.(Department of Labor)(Aloha Airlines Inc.)

Article Excerpt
Fiduciaries, whether internal or independent, overseeing a sponsoring company's stock in the portfolios of defined benefit, 401(k) or other employee benefit plans must act like any other investment manager in dealing with that stock, or risk breaching their fiduciary duty to participants.

Company stock is the corporate-related asset most commonly contributed to defined benefit and defined contribution plans, and is especially common in the latter.

Independent fiduciaries, when they are hired by plan sponsors to oversee company stock in such funds, often assume the stock will remain in the portfolios unless the sponsoring company is on the verge...

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