Client wants to use gain from transfer of stable value account to fund account for plan expenses. The stable value fund is only one of a number of plan investment options. To me this does not pass the smell test because one asset is disporptionately burdend with plan expenses, but I am looking for some authority to back me up. Does anybody know if the Department of Labor or the courts have addressed this issue?

One would need more information about the desgin of the plan relating to investments, investment authority, expense policies, accounts, and participant interests.

DOL Field Assistance Bulletin 2003-3 is helpful