Which is not a responsibility of employers in Defined Contribution (DC) plan investment provisions?

In a Defined Contribution (DC) plan, employers have specific responsibilities related to the investment provisions of the plan. While employers play a critical role in structuring investment programs, monitoring investment performance, and communicating investment options to employees, the actual decision of how to invest their own account balances falls to the individual employees participating in the plan.

In a DC plan, employees typically have the autonomy to choose their investments from a selection offered by the employer. This means that while the employer may provide various investment vehicles or options, every employee is responsible for deciding how to allocate their own contributions and account balances. Consequently, the employer does not dictate or manage the investment choices for individual employees' accounts. This separation of responsibility is a key characteristic of defined contribution plans, distinguishing them from defined benefit plans where the employer assumes the investment risk and manages the funds for employees.

Understanding this structure helps clarify the unique nature of defined contribution plans compared to other retirement plan designs where employee investment decisions may be more limited or guided directly by the plan administrators.