Established 2005
Social(k) has been bringing Environmental, Social and Governance screened investment options to retirement plans for 10 years. It’s been our mission to provide people with the choice to invest their money in companies that value social and environmental responsibility alongside profitability. Now, in 2015, we are expanding:
- From one to four recordkeepers to accommodate different plan sizes and complexity.
- A wider range of account types including Solo(k), IRA, SIMPLE IRA and SEP, 401(k) 403(b), 457, Cash Balance, Profit Share and Safe Harbor.
- A Broader range of additional services to manage larger plans and integrate with your suite of HR benefits.
Until 2014, Social(k) recordkeeping was done exclusively through ExpertPlan, a paperless platform founded in 1999. ExpertPlan delivered the ability for Social(k) to match sustainable, mission-driven organizations with investments that integrate sustainability into their ethos and supply chain. With ExpertPlan we offered over 200 ESG screened funds for advisors to choose from.
Ten years later, Social(k) has invested $150,000,000 on behalf of 7500 people working for over 300 organizations. Clients include many of the organizations we belong to B Corp, US SIF, Green America, Social Venture Network, and RSF Social Finance.
Social(k) is also adding fiduciary oversight to plans that request it. This provides another level of due diligence to investment options and a plans oversight. One firm, QBOX, follows a documented process to provide due diligence on the plan investments and oversee plan operation as required by the Dept of Labor. The second firm, HIP Investor, provides deep insight into the sustainability of the underlying investments.
Investments options have expanded beyond mutual funds, adding ESG investment options from all classes of investments, bringing lower investment costs today. Social(k) has also licensed QBOX Fiduciary Services to operate ESG Portfolios. We offer Net Fee Pricing, rebating any 12b-1 or record keeping fees back to participant accounts.
Mutual funds are institutional class when available. Our new Portfolios are seen here, ESG Portfolios.
Social(k) charges $250 per plan and $10 per participant account, annually. This is a change from our past pricing structure of $350 for full service, $100 for record keeping only. For our new, lower full-service price, Social(k) brings ESG options to employers in a low-cost platform, along with the assistance to understand account options and pricing. We also believe that investments that support a responsible and sustainable way of doing business send a positive message to employees, bringing better participation in the plan. With slightly lower investment fees through use of all assets classes, our fees are offset by the savings participants see annually. With participant levels reaching 50 we discount our annual fee.
Building a better 401(k) was the goal. We continue to add value to the company plan with broader choices for recordkeeper, TPA or custodian, and support services to enhance the plan. Finally, with a group of plans united under the Social(k) brand, we are a stronger buyer in the market. Social(k) has been a leader is aggregating ESG options in retirement plans. With our block of business and assets, we continue to build a better platform. Our aggregated buying power allows all plans to benefit. Should you have an issue with a plan, we are always available to be a strong advocate on your behalf. When we moved close to 200 plans from ExpertPlan to one of our new record keepers, each plan was asked to pay $1250 fee to move. We negotiated that fee to $250, saving each client $1000, a total of almost $200,000 for Social(k) clients. The annual fee you pay to Social(k) drops as your headcount increases, plus it allows us to continue bringing service improvements and pricing concessions to this group of clients.
Julie Gorte post explaining how Pax World is changing corporate behavior through shareholder advocacy.
Social(k) is a Founding member of B Corporation, 1% For The Planet and Slow Money. We are a Green America Certified Business, supporter of the Social Venture Network Community, a member of the American Sustainable Business Council the US Social Investment Forum, Founding member Common Good Capitalism Movement and an advocate for responsible and sustainable businesses and organizations. With Social(k) you also gain a personal advocate for your plan through my phone number and email.
Retirement plan structure is confusing. Think of Social(k) as a guide for mission-driven businesses looking to understand this aspect of their organization. We offer clear answers on pricing, access to investments not readily available from other providers, and continuing work on better investments options than you see from investment houses offering plans loaded with their funds. Your continued support of Social(k), similar to your support of trade organizations or lobbying for your industry, means you have access to the best ESG options and the information to understand the value of this.
Rob Thomas
Founder and President Social(k)