In last week’s Question of the Week we asked, "What percentage of 401(k) plan sponsors are 'very satisfied' with the overall service they receive from their plan advisor?" Here are the results of the voting, expressed in percentages:
50%: 30%
60%: 45%
80%: 13%
90%: 8%
Other: 5%
Looks like poll respondents may have been selling themselves a bit short. According to the 2013 DCP Plan Sponsor Study of 1,716 plans with more than $5MM in DC assets conducted by the Boston Research Group, 81% of those who have an advisor are "very satisfied" with the service they receive from their advisor. By way of comparison, 72% of plan sponsors are "very satisfied" with their record keeper's relationship manager. BRG's Warren Cormier points out that in a companion study of 1,102 plan sponsors with less than $5MM in DC assets, the numbers were very similar: 77% were "very satisfied" with their advisor and 68% were "very satisfied" with their relationship manager.
This week’s Question of the Week is: “According to EBRI, what is the estimated amount of retirement savings that would be retained in the DC system over the next 10 years if cash-outs were reduced by 50%?” It can be found at the bottom of the right column of any page on the portal. On mobile devices, scroll all the way to the bottom. (Speaking of mobile devices, a reminder to use your device’s browser to bookmark the NAPA Net home page. This will create an icon on your device’s home page.)
