Findings in the firm’s recent report, “Evolution of the Retirement Investor 2013: Influencing and Addressing Retirement Savings,” show rollovers present an opportunity for both IRA providers and defined contribution (DC) plan recordkeepers.
Traditionally, investors leaving a 401(k) plan transfer most assets into an IRA, but the report argues DC recordkeepers can fight to keep assets within the 401(k) space by touting the benefits of employer-sponsored plans, and also by engaging individuals who are changing jobs.
“Rollovers to IRAs will continue to increase as distributions from 401(k) plans increase,” Kevin Chisholm, associate director at Cerulli, says. “There is an intense competition for these assets, and those with existing relationships have a distinct advantage. But, many individuals have multiple relationships, so multiple firms have an opportunity to demonstrate their capabilities to potential clients.”
A report sample, including the table of contents and several pages of results, is available here.