A new survey suggests that fee review and benchmarking will be a priority for plan sponsors in 2016.
In what could be a growing opportunity for advisors, according to AonHewitt’s “2016 Hot Topics in Retirement and Financial Well-Being,” while roughly a third (35%) of surveyed plan sponsors have recently reviewed their plan’s total plan costs, and about as many (33%) have hired a third party to benchmark or evaluate costs, nearly eight in 10 (79%) say they are very likely to review total plan costs this year, and 40% are very likely to hire that third party to benchmark their situation.
Roughly 14% say they are very likely to restructure fees so that administrative fees are assessed to participants in a more equitable manner (33% say they have recently undertaken that action), while only 3% are very likely to have participants share less of the expense — and 5% are very likely to have participants share more of those expenses.
The AonHewitt survey included the perspectives of 254 plan sponsors with nearly 7 million employees.
