The PLANbenchmark tool allows retirement plan professionals to input information about a specific plan or client. The data is analyzed and turned into a customized report that shows plan sponsor clients how their plans stack up against the wider market.
“Benchmarking is not a perfect science, at least not for the 90% of the plans that hold less than $10 million in assets,” says Jason Roberts, chief executive officer of PRI. “Instead, benchmarking serves as a jumping off point from which the adviser and his client can identify outliers and drill down into the nature and scope of services provided to determine whether the plan is receiving adequate value.”
He adds that his company’s clients are subject to Financial Industry Regulatory Authority (FINRA) and Securities and Exchange Commission (SEC) rules that require them to supervise the activities of their representatives, which include reviewing and approving reports that are given to clients.
“The reality is that many advisers, for better or worse, have reported that some of their smaller plans simply do not have the experience to adequately interpret the output of more sophisticated and detailed reports,” Roberts says.
Dave Witz, chief executive for FRA PlanTools, views the new partnership with PRI as a “chance to connect with plan advisers who may be interested in these services. Leveraging the reach of [the Advisor Resource Center] is an effective way to introduce and distribute our services through a trusted brand in the retirement plan marketplace,” he adds.
More information on the Advisor Resource Center is available here.