Keyword: auto escalation

7 Misconceptions About Auto Features

With the growth of auto-plan features, plan sponsors are subject to many misconceptions and fears that prevent them from doing the right thing for their employees. Missouri-based Pension Consultants Inc. identifies the seven biggest misconceptions about auto features, and provides solid answers that plan advisors can use with reluctant clients:   Read More

Callan: Expect Lower Fees and Fewer Proprietary TDFs

According to Callan’s recently released 2014 DC Trends Study, the 107 large and mega plans surveyed are expected to take aggressive action toward reducing both fees and the use of proprietary TDFs. They are also looking to continue the use of automatic features. The use of Roth plans, currently modest, is not expected to increase — as is the use of retirement income.   Read More

403(b) = Opportunity

For retirement plan advisors, there’s a silver lining in the dark cloud hanging over public sector DB pension plans: new opportunities in the 403(b) defined contribution market. The pressure being put on public employees’ DB plans has led to “a need to increase both participation rates and contribution rates” in 403(b) plans, Chris DeGrassi, executive director of the National Tax Sheltered Accounts Association (NTSAA), told BenefitsPro in a recent story on the topic. “The demand for investment professionals to engage in and assist in this market has never been higher,” says DeGrassi.   Read More

Auto Plan Best Practices

The auto DC plan is the talk of the industry (along with TDFs), but we’re still learning how to best manage these relatively new tools to improve participant outcomes while being sensitive to employers’ concerns. In a newly released white paper, the Defined Contribution Institutional Investment Association (DCIIA), using research from EBRI, outlines best practices on implementing auto plan features to best improve outcomes.   Read More