The Office of the Inspector General (OIG) of the Department of Labor (DOL) is currently conducting a review of how the DOL's Employee Benefit Security Administration (EBSA) oversees employee benefit plans investing in alternative investments. The OIG has selected a statistical sample of employee benefit plans that invested in alternative investments and will review the plans' analysis, selection, and monitoring of alternative investments, including partnerships, private equity, hedge funds, real estate, interests in common collective trusts and pooled separate accounts and 103-12 investment entities, and funds held in insurance company general accounts.
The OIG will consider making recommendations to EBSA on improving oversight of plans with alternative investments. A final report with recommendations is expected by the end of 2013.
By Eileen Brassil, CPA, CFE, Partner, ebrassil@legacycpas.com