Sentences with phrase «dc plan participants»

In a Q&A with BlackRock Managing Director Anne Ackerley, PLANADVISER hears about emerging opportunities to deliver retirement income solutions to DC plan participants, including through TDFs.

Professional investment assistance helps DC plan participants» outcomes; however, an analysis from Alight Solutions found users of managed accounts see higher returns, are more diversified and save more in their DC plans.

For example, participants can be presented with one Multi-Manager U.S. Large Cap Equity Fund, but it consists of five different types of large - cap equity funds — simplifying the large - cap fund choice for DC plan participants.

Eight in 10 DC plan participants are very or somewhat interested in an in - plan investment option that would guarantee monthly income for life in retirement, and the same number express interest in taking money out of their plan at retirement and moving it to a financial product that would guarantee them monthly income for life.

«Additionally, 39 % of DC plan participants who chose an annuity say they received a projection estimating how many years the money in their DC plan would last, compared to 30 % who chose a lump sum,» MetLife reports.

The MetLife research shows DC plan participants who selected an annuity were more likely than those who selected a lump sum to have been provided with a paper statement illustrating how much income their DC plan would provide in retirement (55 % vs. 28 %).

In fact, the number of active DC plan participants grew by 2.8 % per year from 2007 through 2012, and the report projects that pace to slow to 2.5 % in 2014.

Rafaloff observes that an individual's risk tolerance appears to impact whether they select a lump sum or annuity, a fact that employers can keep in mind as they attempt to influence behavior in this area: «Perhaps not surprisingly, 46 % of DB and DC plan participants who selected a lump sum and are, therefore, subject to the fluctuations of the stock and bond markets, described themselves as risk - takers, compared to 36 % of those who selected a guaranteed annuity.»

In addition, 64 % of DB and DC plan participants who took the annuity (vs. 54 % who took the lump sum) described themselves as «risk - averse.»

Some limited information is available today, however, including information focused on the tax treatment of both payment options — available to 39 % of DB plan participants and 46 % of DC plan participants.

Most DC plan participants should target a savings rate of 12 % to 15 %, or more.1 This target includes both participant and employer contributions to the DC plan.

He conducts research on DC plans and their multiple constituencies, including the behaviors and perceptions of DC plan participants.

In a Q&A with BlackRock Managing Director Anne Ackerley, PLANADVISER hears about emerging opportunities to deliver retirement income solutions to DC plan participants, including through TDFs.

The challenges facing a DC plan participant are complex, dynamic, and multi-faceted.

Not exact matches

Median wealth by sector and plan type is: private sector DC, $ 53,000; private sector DB, $ 65,000; and, public sector DB, $ 165,000.31 Even if one focuses exclusively on long term participants (21 + years) in their current DB and DC plans, the median accumulated wealth of 55 to 64 year olds in DB plans is significantly greater than DC plans: $ 139,000 versus $ 96,000.32

Aspire, a St. Petersburg, Fla. - based recordkeeper, is adding Managed DC to its platform, which serves 125,000 participants in 4,500 plans with $ 4 billion in assets, in November, said Pete Kirtland, president.

All data based on Fidelity analysis of 22,000 corporate defined contribution plans (including advisor - sold DC) and 13.6 million participants as of December 31, 2015.

Are you aware that you can allow your participants to make a positive social and / or environmental impact through your DC plan?

While 80 percent of plan participants are interested in putting some money into annuities, those who have a pension rather than a 401 (k) or other DC plan aren't quite so ready to jump in.

To ensure participants of DC plans have a steady income during retirement, encourage plan sponsors to offer managed payout funds o...

Ultimately, the 403 (b) plan is a defined contribution plan (often called a DC plan), where the participant makes contributions and investment decisions, as opposed to a pension or defined benefit plan (often called a DB plan), where the employer makes all, or a majority of contributions and all of the investment decisions.

In 2010, the DOL noted that defined contribution (DC) plan sponsors offer no promise about the adequacy of a participant's account balance at retirement or of the available income stream, and that DC plans typically only make lump sum distributions available.

Then, in 2013, the DOL expressed its intention to pass regulations that would require DC plans to describe participants» total benefits accrued, including a projected account balance at their normal retirement age and a lifetime income stream illustration.

Mattu: There are two key components of assets in every participant's portfolio: 1) financial assets (both inside and outside the DC plan) and, even more importantly, 2) the value of human capital in excess of consumption — i.e., the present value of future savings over the participant's working career.

In How America Saves, our analysis of U.S. DC plans and participant behavior, we calculated the number of participants who have attained their target savings rate.

PIMCO's glide path for target - date funds is the collective expression of our firm's view on how to deliver an age - appropriate asset allocation that best prepares defined contribution (DC) plan participants for successful retirements.

Respondents whose DC plans do not have a default are less likely to offer automatic escalation (21 % vs. 36 % for those with a default), and they're more likely to believe that participants want to make their own participation and investment decisions.

The paper shows how knowing this information can help defined contribution (DC) plan sponsors determine the QDIA that best fits their participant base.

This is the sort of plan that would yield better results for most, given that DB plans are out of favor, and participant - directed DC plans lead to high expense lousy results.

As participants» investable assets increase, they become much more interested in planning and strategies tailored to their specific situations, explaining why managed accounts attract so much interest in the DC industry.

A manager of managers approach may help defined contribution (DC) plan sponsors offer more diversified investment options to participants without overwhelming them with too many options or increasing costs.

This underscores the need for a more standardized approach to conveying the value of retirement assets in income terms, such as through lifetime income disclosures on DC plan benefit statements for participants.»

Managed account providers should partner with DC plan sponsors to make sure a managed account's distinct advantages — access to personalized advice or the ability to incorporate assets outside the DC plan for a more holistic financial planning experience — are conveyed to participants, the report recommends.

According to Greenshields, Russell Investments is a big proponent of risk - based and target - date funds in defined contribution (DC) retirement plans because they insulate participants against behavioral biases.

«Managed accounts can be a complement to TDFs and should be a part of a DC plan's investment lineup, but we are not a big believer in defaulting to them if participants are not going to be engaged and give the manager critical info to make a customized portfolio,» Martielli says.

-- of plan participants polled in MFS's 2014 DC Pulse Survey said investing a little bit of money in every option on their 401 (k) investment menu was the best way to diversify.

Executives from mutual fund families often serve as trustees of defined contribution (DC) plans, the authors noted, and play an active role in creating the menu of investment options for the plan participants.

Rather, DC plans are becoming deccumulation vehicles for plan participants.

In addition, the vast majority of participants in company - sponsored DC plans will pay lower fees than if they try to buy the same guaranteed lifetime income product on their own.»

Sibson also suggests DC plan sponsors should consider participants transition from accumulating account balances to generating income.

According to «Design Matters: Plan Distribution Options,» DC plan sponsors are increasingly concerned about effectively providing participants with the retirement income flexibility they need and want after separation from active servPlan Distribution Options,» DC plan sponsors are increasingly concerned about effectively providing participants with the retirement income flexibility they need and want after separation from active servplan sponsors are increasingly concerned about effectively providing participants with the retirement income flexibility they need and want after separation from active service.

Mega plan sponsors are pushing the envelope yet again, going beyond target - date funds by offering more personalization to their plan participants through managed account vehicles, according to the DC Investment Manager Brandscape, a Cogent Reports study by Market Strategies International.

Markov Process International (MPI) has released its MPI Target - Date Radar, an interactive search and selection tool designed for fiduciaries seeking to match defined contribution (DC) plan participants» demographics, behaviors and preferences with appropriate target - date fund (TDF) families.

«The participants only see one SMID fund [on their DC plan investment menu]; it makes participants» lives easier,» Brooks notes.

The research indicates that when DC plans offer distribution options alongside a one - time lump - sum benefit payment, a good number of retiring plan participants are interested in, and take advantage, of these options.

According to the latest Department of Labor statistics, more than 640,000 employer - sponsored defined contribution (DC) plans are in existence in order to help nearly 90 million participants prepare for retirement.

Figure 14 shows total DC employer contributions for two 35 - year - old employees earning $ 50,000 per year: one a new hire and the other a continuing DB plan participant with five years of service.

Figure 18 shows average DC employer contributions for former DB plan participants and new hires, as well as what the DC plan used to yield before the primary DB plan was fully frozen.

In addition, target - date funds (TDFs), which have become an increasingly popular DC plan QDIA in recent years, start out with greater equity holdings and then automatically reduce equity allocations as participants near retirement.

The American Bird Conservancy strikes again, as a participant in a stealth plan to try to destroy TNR in Washington, DC.