When retirees roll over assets from a 401(k) to an individual retirement account, 75% reduce their equity exposure, according to research from J.P. Morgan Asset Management and the Employee Benefit Research Institute.
The research, based on data EBRI collected and studied on 31,000 people as they entered retirement between 2013 and 2018, also found that required minimum distributions appear to be the dominant withdrawal “guidance.” The vast majority of retirees, the research found, did not take distributions before they reached the RMD age, and those older than the RMD age choose to take only the RMD amount.
“The RMD approach is inefficient,” said Katherine Roy, chief retirement strategist at J.P. Morgan Asset Management. “It does not generate income that supports retirees’ declining spending behavior and may leave a sizable account balance at age 100.”
Another key finding was that income and spending in retirement are highly correlated. As income increases with the start of Social Security and RMDs, spending increases, with households that have regular income from an annuity and/or a pension spending more even if they have similar levels of observable retirement wealth.
With growth topping succession as the leading M&A driver, referral programs are a top of mind consideration for advisory firms making moves as Goldman Sachs, Pershing and Robinhood consider entering the referral market.
The $8 billion RIA is getting more fuel for geographic expansion and recruit top talent through a minority investment partnership.
The rush of SEC applications, which also includes JPMorgan and Schwab, reflect growing optimism over the tax-busting fund structure.
The half-dozen teams who joined the hybrid RIA in the early innings of 2025 have lifted it past a key asset milestone.
Meanwhile, GPB senior executives' sentencing for fraud pushed to May.
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.
