It’s not enough for employers to simply offer a 401(k) plan and expect to attract and retain talent. Employees want more and employers know it. In fact, there has been a significant increase in 401(k) plan reviews and RFP exploratory activity as employers look holistically at what’s truly in the best interest of their plan participants. In 2019, nearly one in four DC plan sponsors (39%) indicated they were likely to initiate a formal plan review within the next 12 months, significantly higher than the 29% who reported likelihood in 2017. While some of this uptick stems from healthy business growth such as mergers and acquisitions, or even just from routine negotiating, one thing is certain: in the DC plan market, it’s more important than ever to understand the mind-set and motivations of the ultimate decision-maker—the plan sponsor.
For DC plan providers and DC plan investment managers to defend—and, ideally expand—their current 401(k) business, they need to deeply understand where plan sponsors are coming from and what they’re looking for. This year’s Retirement Planscape report, based on a survey of 1,500 DC plan sponsors, will dive more deeply into the mind-set of these plan sponsors. We’ll ask the questions DC providers and DC investment managers need to know, including:
As the DC plan landscape becomes increasingly complex and the industry seeks better solutions for plan participants, the ultimate decision on what to offer lies in the hands of the plan sponsor. DC plan providers and investment managers must understand the mind-set and motivations of this unique group to maintain and grow their 401(k) business.
Retirement Planscape tracks the competitive landscape, strengths and weaknesses in key brand equity metrics, perceptions, and loyalty and satisfaction ratings for the leading 34 DC plan providers and 45 DC plan investment managers. Additionally, this year’s report will feature an expanded look at ESG investing and the barriers to its adoption; identify what triggers QDIA evaluations; and explore trends in plan design spanning HSAs, 401(k) student loan matching and use/interest in multiple or pooled employer plans (MEPs/PEPs). Click below for more information on the full Retirement Planscape report.