Which aspect was not a concern of the OCC regarding operational risk in Qualified Retirement Plan Services?

Which aspect was not a concern of the OCC regarding operational risk in Qualified Retirement Plan Services?

• A. Employer securities or real property
• B. Affiliated mutual funds and target-date funds
• C. Non-publicly traded assets
• D. Providing employee education to Plan Sponsors

Answer: (D)

The focus of the Office of the Comptroller of the Currency (OCC) regarding operational risk in Qualified Retirement Plan Services encompasses a range of factors that impact the stability and effectiveness of these services. Among the options listed, providing employee education to Plan Sponsors is not typically viewed as an operational risk concern. This aspect primarily addresses the educational needs of the Plan Sponsors and their employees, aiming to help them understand the retirement plan options and make informed decisions. While it is undoubtedly important for enhancing the overall effectiveness and success of a retirement plan, it does not pose the same level of operational risk as the other options. In contrast, aspects like employer securities, affiliated mutual funds, and non-publicly traded assets directly relate to the integrity, governance, and marketability of the assets involved in the retirement plans, which are critical for safeguarding the interests of participants and ensuring compliance with regulations. These factors present tangible risks that could affect the operational performance and overall management of retirement plan offerings, making them a primary concern for regulators.

The focus of the Office of the Comptroller of the Currency (OCC) regarding operational risk in Qualified Retirement Plan Services encompasses a range of factors that impact the stability and effectiveness of these services. Among the options listed, providing employee education to Plan Sponsors is not typically viewed as an operational risk concern.

This aspect primarily addresses the educational needs of the Plan Sponsors and their employees, aiming to help them understand the retirement plan options and make informed decisions. While it is undoubtedly important for enhancing the overall effectiveness and success of a retirement plan, it does not pose the same level of operational risk as the other options.

In contrast, aspects like employer securities, affiliated mutual funds, and non-publicly traded assets directly relate to the integrity, governance, and marketability of the assets involved in the retirement plans, which are critical for safeguarding the interests of participants and ensuring compliance with regulations. These factors present tangible risks that could affect the operational performance and overall management of retirement plan offerings, making them a primary concern for regulators.