Masterminds of the Plan
Defining Roles
Empower to Acquire Full-Service Retirement Business of Prudential
Empower will acquire Prudential’s DC, DB, non-qualified and rollover IRA business, in addition to its stable value and separate account investment products and platforms.
Talking Scale With Voya, Sterling Resources Leaders
Over the past decade, the universe of retirement plan recordkeepers has contracted from about 400 to approximately 150, with no signs of slowing. Experts say one lesson learned in this time is that not all scale is created equal.
Court Affirms Arrangement Between Sponsor and Recordkeeper Not a Prohibited Transaction
After reviewing a decision in an ERISA lawsuit against Banner Health, the 10th Circuit also found no reason to order the sponsor to implement an RFP process.
Principal Financial Group Strategic Review Leads to New Focus
The firm is getting out of the retail annuity business and focusing on its retirement and asset management businesses, including initiatives to improve the participant experience.
Aon Aims to Sell U.S. Retirement Business to PE Firm Aquiline
The firm also intends to sell the Aon Retiree Health Exchange business to Alight, at least in part to head off potential antitrust concerns associated with its ongoing merger with Willis Towers Watson.
Vanguard Leader Encourages Retirement Industry Evolution
John James says advisers can use their expertise and experience to advance much-needed discussions about improving retirement policy here in the U.S.
Truist Sells 401(k) Recordkeeping, Advisory Businesses
Ascensus and Empower will take on parts of the 401(k) recordkeeping business, while OneDigital will assume the 401(k) investment advisory business.
Value Judgment
TIAA Says New Mobile Enrollment Experience Is a Sign of the Times
Consumers spent a collective 1.6 trillion hours on mobile devices during the first half of 2020, with a 220% increase in time spent on business apps.
Empower Continues 2020 Acquisitions With Fifth Third Deal
The Fifth Third retirement plan business comprises more than 475 workplace savings plans populated by approximately 100,000 participants with $6.21 billion in assets.
Empower Acquires MassMutual Retirement Plan Business
The transaction will increase Empower’s participant base to more than 12.2 million people and its retirement services recordkeeping assets to approximately $834 billion administered in approximately 67,000 workplace savings plans.
A Team Approach
Recordkeeper Consolidation Continues Amid Pandemic
Principal Financial Group acquired Wells Fargo’s institutional retirement and trust businesses in July 2019 and aims to complete the integration in 2021—pandemic or not.
Many Retirement Plan Contracts Delayed by COVID-19
Sales of new plans are expected to decline throughout the rest of 2020, with small plans affected the most.
Recordkeepers Holding Steady on Staffing—So Far
DCIIA and SPARK surveyed members in early April with regard to the CARES Act and the effects of the coronavirus pandemic.
Fee Compression Is Old News for Recordkeepers, Fund Managers
Fee compression hit recordkeepers first, then asset managers. Advisers are next, experts agree, but they can learn some important lessons from their service provider partners.
Adviser Picks
Principal and Wells Fargo Make Technology Integration Progress
“These digital and service model investments support our efforts to bring the best from both organizations to provide unparalleled value to participants, clients, advisers and consultants,” says Renee Shaaf at Principal.