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CTP · Question #168

(Topic 2) For a retirement plan to be qualified under ERISA, employer and employee contributions must be:

The correct answer is B. placed in a separate fund held by a third party. See the full explanation below for the reasoning.

Question

  • (Topic 2)

For a retirement plan to be qualified under ERISA, employer and employee contributions must be:

Options

  • Ainvested to maximize portfolio return.
  • Bplaced in a separate fund held by a third party.
  • Cplaced with a professional investment manager.
  • Dinvested to provide a defined benefit for plan participants.

How the community answered

(31 responses)
  • A
    3% (1)
  • B
    74% (23)
  • C
    16% (5)
  • D
    6% (2)

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