INNOVATIVE INVESTMENT MENU
Using a proprietary methodology Quartz Partners' seasoned investment team curates a diverse fund menu of individual funds ("DIY") and target date funds ("set it and forget it") from a universe of over 10,000 funds. The funds we select are monitored for performance, expenses and fit.
Our simple Risk Profile Questionnaire help's employees determine the right mix of funds by identifying their age, objectives and risk tolerance. The Quartz investment team can also actively manage employee investments in one of our custom portfolios.
SMALL FEES. BIG IMPACT.
Why Fees Matter
High plan fees expose employers and plan trustees to unsolicited regulatory scrutiny and civil liability.
Our plans are built for cost efficiency. Each dollar spent on plan and mutual fund fees is one less dollar for employee benefits or driving business revenue. Reducing fund and administrative plan fees by as little as 0.25% can increase an employees retirement savings by $220,000, increasing their annual retirement income by over $11,000 per year1.
With participant fees of 0.75%
With participant fees of 1.00%
24/7 INTUITIVE ONLINE PLATFORM
We can be added to an existing plan or choose our turn key solution is customizable and comprehensive, tackling all the necessary components; administration, recordkeeping, custody, participant advice and investment management. Our goal is to allow your business to focus on what matters most; corporate culture and running the core business operations. Our team is ready to provide support by phone, email, or on-site.
FIDUCIARY PROTECTION. FOR YOUR BEST INTEREST.
Less Employer Liability
When an employer does not use a 3(38) fiduciary, the DOL requires the requires the employer to be a "prudent expert" in selecting and monitoring the investment line up, regardless if there is an existing advisor on the plan. In 2019 the Department of Labor recovered over $2 billion6 in enforcement actions for employee benefit plans.
Our plans are designed to reduce to the fullest extent possible employer and plan trustee liability exposure. Less than 15% of plan advisors are willing to assume the liability by offering 3(38) fiduciary services3 and having earned the coveted CEFEX certification, Quartz sets itself apart from over 95% of advisors1.
Already working with an advisor you like? Add our 3(38) fiduciary protection and we'll lower liability, costs and strengthen your plan.
Get a Free 401k Analysis
Receive an analysis of fees, investments, and potential compliance issues. This report can suffice as a record for DOL purposes that annual benchmarking was performed.
We select a diversified list of over 20 passive index mutual funds for employees to build a portfolio of their own. Why do we typically choose index funds that cost 60% less3? Over 80% of U.S. equity mutual funds failed to beat their benchmark over a 15-year period6. We are flexible and incorporate active mutual funds.
INNOVATIVE INVESTMENT MENU
One Plan. 3 Ways to Invest.
✓ Quartz Partners adaptCORE Portfolios
✓ Diverse lineup of investments
✓ Target Date Retirement Funds
As a single mutual fund solution, target date mutual funds hold a mix of stocks, bonds, and other investments. Over time, as an employee approaches retirement the mix gradually shifts assets from stocks to bonds. Target date funds are designed to be long-term investments for individuals with particular retirement dates in mind.
Quartz Partners' adaptCORE portfolios are built to navigate volatile markets and are driven by our firm philosophy: the key to long-term investment growth is a tactical approach that seeks high total returns with a vigilant commitment to downside risk management.
Quartz Partners' seasoned investment team curates a fund menu from a universe of over 10,000 funds utilizing a repeatable scientific process. The funds selected are monitored for performance, expenses and fit. Funds are quickly replaced when better funds are identified.
Getting Started Is Easy
Provide us a with a little information, we'll walk you through our solution, improvements that can be implemented by Quartz or even your current plan advisor at no cost. Better yet, this report can suffice as a record for DOL purposes that annual benchmarking was performed. We'll answer any questions and do all of the heavy lifting if you decide to have Quartz manage your plan.
Ready to get started?
1 As of 1/14/22: According to CEFEX.org 114 advisory firms were CEFEX certified. According to statista.com there were 13,494 U.S. Securities adn Exchange Commission registered investment advisory firms.
2 Quartz Partners Investment Management (“Quartz”) has been nominated and has won several awards from 2015 to 2018 for its Yield Plus and Spectrum investment stategy's. Quartz did not make any solicitation payments to any of the award sponsors in order to be nominated or to qualify for nomination of the award. Lipper Marketplace is an investment manager database that serves as an objective, third-party supplier of information. Lipper Marketplace’s Best Money Manager ranking is a survey of institutional money manager performance. Minimum criteria for inclusion in Best Money Managers:
1. Performance must be calculated "net” of all fees and brokerage commissions. This means after all fees have been deducted. This standard is somewhat controversial, as the SEC requires that only "net” of fees numbers be presented publicly, while GIPS (Global Investment Performance Standards) prefers that "gross” numbers be presented along with a fee schedule. Since the SEC is a regulatory authority, and since complete fee schedule presentation would be impractical in this "ranking" format, we require "net” numbers. 2. Performance must be calculated inclusive of all cash reserves. To explain, any given investment portfolio will hold some level of cash over a particular reporting period. Even equity portfolios which specifically seek to be fully invested in the market at all times will temporarily have dividend payments and other ordinary cash flows which cannot instantaneously be invested in the market. These cash holdings obviously will have an effect on the performance of the overall portfolio – negative when cash returns are low relative to returns of the asset class, and positive if the opposite is true. While presentation of "equity-only” (for example) returns may provide a valuable insight into the security selection skills of the manager, we require for comparability's sake that performance results be inclusive of cash reserves for consideration in the rankings. 3. Performance results must be calculated in U.S. dollars, that is, from the perspective of a U.S.-based investor. Currency holdings can have a very significant impact on the performance of a portfolio with international holdings. While this will always be the case (as we do not make distinctions between hedged and unhedged portfolios), we require that performance must be translated into U.S. dollars to ensure comparability to the point where these are all returns that would be seen by a U.S.-based investor. 5. Performance results must be calculated on an asset base which is at least $10 million in size for "traditional” U.S. asset classes (equity, fixed income, and balanced accounts) or at least $1 million in the case of international and "alternative” U.S. asset classes. This minimum ensures that the firm and product are somewhat established. The goal is to not taint the rankings with "flashes in the pan” while also not excluding promising emerging managers. The minimum asset base requirement, therefore, is set at a level which balances these objectives. 6. The classification of the product must fall into one of the categories which Lipper ranks. Lipper Marketplace only publishes rankings for categories/time period combinations for which they have at least 20 contenders.
3 March 2019: SPIVA U.S. Score Card S&P Dow Jones Indices LLC. Data as of 2018 pg. 9.
4 Hypothetical illustration were calculated by KJE Computer Solutions, Inc. and assumes an annual contribution of $15,000 with average annualized investment performance of 8% over 40 years. Income illustration assumes a distribution rate of 5% based on the difference between a hypothetical plan charging 0.75% and another plan charging 1.00% with ending values of $3,426,000 and $3,204,143.
5 May 2018 Center for Retirement Research at Boston College; 401(k) Lawsuits: What are the causes and consequences?”
6 U.S. Department of Labor EBSA FY 2019 Monetary Results Fact Sheet: https://www.dol.gov/sites/dolgov/files/ebsa/about-ebsa/our-activities/resource-center/fact-sheets/ebsa-monetary-results.pdf
7 Cerulli, U.S. Defined Contribution Distribution 2017: Re-valuating the Use of CITs in DC Plans.
8 June 2019: The Brightscope/ICI Defined Contribution Plan Profile: A Close Look at 401(k) Plans, 2016 pg. 55.
Quartz Partners Investment Management (“Quartz”) is an investment adviser registered with the SEC under the Investment Advisers Act of 1940. Quartz’s Partners use of the term “registered investment adviser” or being “registered” with the SEC, any state securities authority or self regulatory organization does not imply a certain level of skill or training. Additional information about Quartz is available on the SEC’s website at www.adviserinfo.sec.gov. You can view information about Quartz on this website by searching for our name “Quartz, LLC” or “Quartz Investment Management”. You can also view information on this website by using our CRD number which is 174327. www.adviserinfo.sec.gov. Quartz claims compliance with the Global Investment Performance Standards (GIPS®). A complete list and description of the firm’s composites and a presentation that adheres the GIPS® standards are available upon request. Investing involves the risk of loss. Past performance is not an indication of future performance. This brochure should not be construed as investment advice. Quartz does not provide tax or legal advice. To the extent that this material or any attachment concerns tax matters, it is not intended to be used and cannot be used by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Any such taxpayer should seek advice based on the taxpayer's particular circumstances from an independent tax advisor. The plan sponsor should consult their legal and tax advisors regarding all tax and legal considerations with respect to the plan, which are based upon ERISA, judicial decisions and Department of Labor regulations and rulings in existence on the date hereof. Further, neither Quartz Partners nor any investment adviser representative, solicitor, or other financial professional is (by virtue of this proposal or otherwise) a fiduciary with respect to your plan for purposes of ERISA or similar laws unless otherwise explicitly stated and rulings in existence on the date hereof. Further, neither Quartz Partners nor any investment adviser representative, solicitor, or other financial professional is (by virtue of this proposal or otherwise) a fiduciary with respect to your plan for purposes of ERISA or similar laws unless otherwise explicitly stated. Some of the services listed will be provided by third parties and not by Quartz. Quartz will maintain a relationship with all service providers including third party administrator, record-keeper, custodian, investment options, etc.