Providers Unsuccessful at Retaining DC Plan Assets

Due to insufficient focus on retention, the inability to reach the plan participant at the appropriate time, and failure to build a relationship with the participant prior to retirement, defined contribution (DC) plan service providers are largely unsuccessful at retaining participant assets after retirement, according to a study from the Diversified Services Group (DSG).
Reported by Rebecca Moore
More than 80% of participants from the companies interviewed take assets out of DC plans at the time of retirement, causing the majority of recordkeepers to lose between $500 million and $4 billion of DC plan assets last year.
Tags
Defined contribution, Participants, Recordkeepers, Recordkeeping,
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