Small Cap Value CIT
A Collective Investment Trust, CIT, is a tax-exempt pooled investment vehicle that consists of assets from qualified retirement plans, such as 401(k) defined contribution plans or other government retirement plans. They can invest in a variety of securities including stocks, bonds and mutual funds and are maintained by a bank or trust company, known as the trustee. They are regulated by the Office of Comptroller of the Currency (OCC) or a state banking regulator, must comply with ERISA and are held to the US Department of Labor fiduciary standards. Additionally, they must be reviewed annually by independent auditors.
CITs have increased in popularity as an option for defined contribution (DC) and other ERISA-qualified plans as they offer participants liquidity, reasonable, cost-efficient investment options as well help plan sponsors fulfill their fiduciary duty.
We believe the growth of CITs could continue into the future because of the many attractive characteristics they offer. Click here for a whitepaper from SEI on CITs.
Why consider a CIT?
Lower expenses
CITs generally have lower operational and marketing costs compared to mutual funds.
Customization
Managers have the ability to offer multiple share classes to plan sponsors which can vary in fees collected based on the share class eligibility criteria.
Diversified investment portfolio
Retirement funds of many different investors are pooled and invested, with an additional layer of fiduciary management.
Why choose Spouting Rock Asset Management?
Spouting Rock Asset Management has partnered with SEI Trust Company, the trustee, to offer a collective investment trust, for which Spouting Rock Asset Management will act as the adviser. SEI Trust Company is a wholly owned subsidiary of SEI Investments Company, a leading global provider of institutional and private client wealth management solutions. SEI Trust Company maintains ultimate fiduciary authority over the management of the Trust, with unaffiliated investment advisers serving in fiduciary roles as sub-advisers.
Interested in learning more?
Click here for additional information about CITs from SEI’s resources of white papers and webinars.
Contact us
To learn more about our Small Cap Value CIT offering and Spouting Rock Asset Management investments, please contact us.
SEI Trust Company (the “Trustee”) serves as the Trustee of the Fund and maintains ultimate fiduciary authority over the management of, and the investments made, in the Fund. The Fund is part of a Collective Investment Trust (the “Trust”) operated by the Trustee. The Trustee is a trust company organized under the laws of the Commonwealth of Pennsylvania and wholly owned subsidiary of SEI Investments Company (SEI).
The Spouting Rock Collective Investment Trust (the “Trust”) is a trust for collective investment of assets of participating tax qualified pension and profit-sharing plans and related trusts, and government plans as more fully described in the Declaration of Trust. The Trust is managed by SEI Trust Company, the trustee, based on the investment advice of Spouting Rock Asset Management, the investment adviser to the trust. As a bank collective trust, the CITs are exempt from registration as an investment company.
Risk Disclosure:
The content of this document is provided for informational purposes only and does not constitute investment advice or an investment recommendation. Investing in the stock market involves risks, including the potential loss of principal. This document contains a general, high level summary of certain considerations applicable to CITs, and is not a full description of all the considerations applicable to CITs. Retirement plan sponsors are encouraged to consult their own advisors.
