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Voya IRA Platform Addresses Fiduciary Change

Voya Financial has launched a new advisory-based IRA platform aimed at cost efficiency.

By John Manganaro editors@strategic-i.com | August 24, 2017

Voya Financial announced it will offer a new “advisory-based solution to its diverse mutual fund portfolio,” dubbed the Voya Select Advantage Advisory IRA.

The individual retirement account (IRA) solution is structured as a mutual fund custodial account. One of its key features, Voya says, includes its breadth of choice: “Customers can work with their adviser to select from a diverse mix of 90 individual mutual funds. This provides access to well-known fund managers and the opportunity to select from a diversified mix of management styles.”

Additionally, advisers are “free to change their client's investment options at any time,” with no transaction charges. At the same time, Voya says it is offering a lower cost structure compared to other IRA platforms.

A commissioned-based version of Voya's Select Advantage IRA is currently offered by the firm. In an effort to proactively adapt to the Department of Labor's (DOL) new fiduciary rule, Voya designed an advisory version to give advisers more choice and options when working with their clients under the new fiduciary paradigm.

“This is the first time Voya's annuities and individual life businesses have introduced an advisory model to its mutual fund portfolio,” the firm says. “In addition to other firms, the company's retail broker-dealer and registered investment adviser, Voya Financial Advisors, Inc., will offer this platform to its national network of independent financial advisers.”

Working through a financial adviser, individuals can open an account with as little as $5,000 or roll over funds from an existing 401(k) or IRA. Dollar-cost averaging and auto-rebalancing features are also available at no additional cost, along with quarterly statements and online tools to allow customers to access their accounts on demand.