Financial Guidance and Advice Policy
When you use either the online CHOICE SERVICE or the ADVISOR® SERVICE
from Financial Engines® you will have the opportunity to review recommendations for
the allocation of investment funds. Financial Engines is authorized to provide
these Services to Florida Retirement System members under contract with the
State Board of Administration of Florida (SBA). Financial Engines will
discharge each of its duties under the SBA contract and exercise each of its
powers with due care, skill, prudence and diligence under the circumstances
that a prudent expert, acting in a like capacity and familiar with such
matters, would use in the conduct of any enterprise of like character and
with like aims. Financial Engines discharges its duties under the SBA contract
solely in the interest of FRS participants and their beneficiaries and shall
not directly or indirectly receive any benefit from recommendations made under
the SBA contract and shall disclose to the SBA any investment or economic
interest of Financial Engines that may be enhanced by the recommendations it
makes under the SBA contract. With respect to investment advisory services
provided to you by Financial Engines, Financial Engines will also be bound by
fiduciary duties imposed by federal and state securities laws.
It is important for you to understand that the SERVICES are frameworks to be
used in your own retirement planning, but they are not a substitute for your
own informed judgment or decisions. Moreover, they provide only some of the
resources that could possibly assist you in making your decisions and may not
reflect all of your individualized needs and circumstances. You may accept,
reject or modify the recommendations provided by the CHOICE and ADVISOR®
SERVICES, and you may consult with other advisors or professionals (at your
expense) as you see fit regarding your personal circumstances.
Before applying any asset allocation presented to you in the
SERVICES, you should consider your other assets, income and investments
(including, for example, equity in a home, IRA investments, savings accounts
and interest in other retirement plans) as well as your FRS investments and
benefits. Rule Chapter 19-13, Florida Administrative Code, defines the
difference between guidance and advice for the purposes of implementing s.
121.4501, Florida Statutes.