401(k) trading activity picked up in January

401(k) trading activity picked up in January
Amid last month’s volatile markets, 401(k) investors headed toward fixed income and away from equities.
FEB 09, 2022

Amid the stock market’s ups and downs in January, 401(k) account holders did their most trading in a year, according to the Alight Solutions 401(k) index, the company said.

The index shows an average of 0.017% of all account balances were traded daily last month, which was the highest level since January 2021.

Last month saw five trading days with above-normal activity, which compares with just three such above-normal trading days in all of 2021.

Alight said that in 13 of the 20 trading days last month, investors favored fixed income over stocks. Inflows during the month headed mainly to stable value funds, bond funds and money market funds, while outflows came from target-date funds, large-cap U.S. equity funds and midcap U.S. equity funds.

Latest News

The 2025 InvestmentNews Awards Excellence Awardees revealed
The 2025 InvestmentNews Awards Excellence Awardees revealed

From outstanding individuals to innovative organizations, find out who made the final shortlist for top honors at the IN awards, now in its second year.

Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty
Top RIA Cresset warns of 'inevitable' recession amid tariff uncertainty

Cresset's Susie Cranston is expecting an economic recession, but says her $65 billion RIA sees "great opportunity" to keep investing in a down market.

Edward Jones joins the crowd to sell more alternative investments
Edward Jones joins the crowd to sell more alternative investments

“There’s a big pull to alternative investments right now because of volatility of the stock market,” Kevin Gannon, CEO of Robert A. Stanger & Co., said.

Record RIA M&A activity marks strong start to 2025
Record RIA M&A activity marks strong start to 2025

Sellers shift focus: It's not about succession anymore.

IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients
IB+ Data Hub offers strategic edge for U.S. wealth advisors and RIAs advising business clients

Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.