07.28.21
Plan Sponsors Demanding More of Advisors, Fidelity Says
by: Jacqueline Sergeant
According to a Fidelity Investments study, 88 percent of plan sponsors made changes to their investment menus and 82 percent changed their plan designs in the past two years. The study says the main reason for changing plan advisors was a need for better employee communication and education. Lower fees, more retirement expertise, and better investment options were also listed as reasons for changing advisors. Fidelity Investments also says 46 percent of plan sponsors want their advisors to have more experience in helping keep costs low. Forty-four percent said they wanted help selecting and monitoring their investment choices. Furthermore, 42 percent wanted advisors to keep them informed about regulatory changes and how to implement them. “Plan advisors should take an active role in engaging both plan sponsors and their employees to emphasize the value of their plan and educate them to help improve outcomes,” said Liz Pathe, head of defined contribution investment only sales at Fidelity Institutional.
Read the full article on Financial Advisor.