Accredited Investment Fiduciary (AIF) Training Practice Test

The plan fiduciary has the duty to monitor the activities of prudent experts. Under ERISA, fiduciaries must act with prudence, which includes ongoing oversight of the plan’s service providers and decision-makers. This means regularly reviewing what the prudent expert does, evaluating performance and advice against the plan’s goals, and taking corrective action or replacing the provider if their work isn’t protecting participants’ interests or is not financially prudent. The responsibility sits with the fiduciary because they are the ones legally obligated to ensure the plan’s investments are managed in the participants’ best interests; they can’t rely on others to bear that burden alone. The prudent expert isn’t monitoring themselves, plan participants don’t bear fiduciary oversight duties, and independent auditors audit financial records and controls rather than serve as the ongoing monitor of a plan’s providers.