Managing plan fees is the main priority for corporate defined-contribution plan sponsors in 2020, according to the results of an annual survey by Callan, an institutional investment consulting firm.
For the fourth consecutive year, plan sponsors ranked reviewing plan fees as the most important step they took to improve their plan’s fiduciary position over the past year, the study found.
Conducted in the fall of 2019 by Callan, the survey of 114 plan sponsors — including Callan clients and other organizations — found participant communication closely followed fees as the top area of focus for 2020, with financial wellness ranking as the most important area within participant communication for the third consecutive year.
Among other notable survey findings was that cybersecurity increased only slightly in priority from last year.
The survey found that 87% of plans offer a Roth feature, 93% offer a target-date fund, and 95% of plans offered some form of guidance or advisory service to participants. The prevalence of custom solutions increased modestly to 17.3% in 2019.
“What’s surprising is that over 45% of sponsors don’t evaluate indirect revenue as a part of their fee review,” said Jamie McAllister, a DC plan consultant at Callan. “Since indirect revenue from sources such as managed accounts or rollover assets can be meaningful, we feel it’s important that it be considered in the overall fee evaluation.”
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.
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.
“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.
Sellers shift focus: It's not about succession anymore.
Platform being adopted by independent-minded advisors who see insurance as a core pillar of their business.
RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.
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.
