In a June 2 “Journal Reports” article that would be more at home in the left-leaning New York Times or Washington Post, the Wall Street Journal — once known as a conservative voice — delivered a liberal’s pipedream prescription for fixing what ails the 401(k).
Couching the solution in the form of a simple, five-part strategy, author Anna Prior essentially boils it all down to this: We need lower fees, more regulation and a federally run “national 401(k) plan.”
Not surprisingly, these insights are drawn from the usual liberal suspects known for their 401(k)-bashing. The article features attributed quotes from experts at the Economic Policy Institute and the Center for American Progress and references to the policy positions of AARP, the Consumer Federation of America and the Pension Rights Center. EBRI, the PSCA, Morningstar and Vanguard, along with Davis & Harmon’s Kent Mason, are mentioned, but in the context of data, not public policy. In the area of policy, the article essentially fails to provide any opposing perspective at all.
“It’s amazing how the article can focus on lower fees while arguing for more disclosure and more regulation — both of which would result in higher fees — and then throws in a national 401(k) ‘solution’ to boot,” said Brian Graff, executive director/CEO of NAPA and ASPPA.
Balanced reporting, anyone? Discuss in the comments box below.
