Employers are increasingly offering investment support to their workers in a variety of ways, according to the Plan Sponsor Council of America’s (PSCA)’s 61st Annual Survey of Profit Sharing and 401(k) Plans.
Managed accounts and target-date funds (TDFs) continue to gain ground, and more than one-third of companies now offer investment advice to participants. Employers are also using automatic features paired with qualified default investment alternatives (QDIAs) and personalized investment advice.
“Companies that offer investment support can help participants make better decisions for their financial future,” says Hattie Green, director of research for PSCA. “One-on-one counseling is a personalized method of advice delivery that can incorporate a comprehensive discussion on financial wellness.”
The 61st Annual Survey of Profit Sharing and 401(k) Plans also covers topics such as monitoring investment policy statements, alternative investment options, company stock, distribution and withdrawals, participant education and communication, recordkeeping and other plan administration practices. Information about how to purchase the full report is here.