Oak Brook, IL (PressExposure) September 01, 2009 -- Millennium Trust Company, a leading provider of custody and IRA services, announced that John Hancock has selected the firm as the custodian for its innovative terminating plans solution. The solution, further enhancing John Hancockâs current service offering, will enable third party administrators (TPAs) and retirement plan sponsors to effortlessly wind down terminating plans by rolling over plan assets for missing and non-responsive participants to an IRA invested in a John Hancock money market fund.
John Hancockâs Retirement Income and Rollover Solutions Division will deliver a fully integrated service to TPAs and retirement plan sponsors facilitating the execution of automatic rollovers from their retirement plans to Millennium Trust Company, a leading rollover IRA provider. Automatic rollover assets will initially be invested in a John Hancock money market fund, in compliance with Department of Labor (DOL) safe harbor regulations, providing investment continuity for former plan participants. As active IRA account holders of Millennium Trust, the former plan participants will also have access to John Hancockâs line up of mutual funds. In addition, plan sponsors will be able to retain Millennium Trustâs custody services to distribute any remaining plan assets in a compliant and efficient manner to close out the terminating plan.
âMany TPAs and plan sponsors are saddled with the challenge of finding a safe home for the inevitable group of remaining missing and non-responsive participants of terminating plans,â says Millennium Trust CEO, Scott McCartan. âIRA custody is at the core of what we do, so we are pleased to partner with John Hancock to offer a competitively priced, no minimum investment automatic rollover IRA solution for these participants. We are also excited about supporting John Hancockâs own proprietary money market mutual fund as the default investment vehicle for this program.â
âThis innovative solution comes at a critical time in the industry as the risk of plans terminating has increased significantlyâ says John Hancock Senior Vice President and General Manager David Longfritz. âOur TPA and plan sponsor clients have been asking for an integrated program that helps them seamlessly wind down terminating plans. With our hands-on service model coupled with Millennium Trustâs custody services, we are confident that we have answered the call.â
About John Hancock and Manulife Financial Corporation John Hancock Financial is a unit of Manulife Financial Corporation, a leading Canadian-based financial services group serving millions of customers in 22 countries and territories worldwide. The John Hancock unit, through its insurance companies, comprises one of the largest life insurers in the United States. John Hancock offers a broad range of financial products and services, including life insurance, fixed and variable annuities, fixed products, mutual funds, 401(k) plans, long-term care insurance, college savings, and other forms of business insurance. Additional information about John Hancock may be found at http://www.johnhancock.com.
Operating as Manulife Financial in Canada and in most of Asia, and primarily as John Hancock in the United States, Manulife offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were Cdn$421 billion (US$362 billion) as at June 30, 2009.
Manulife Financial Corporation trades as âMFCâ on the TSX, NYSE and PSE, and under â945â on the SEHK. Manulife Financial may be found on the Internet at http://www.manulife.com.