Self-Directed Brokerage Accounts Fell 10.6% in Value in 4Q18
Account values fell sharply from the previous quarter and were 6.3% lower than the previous year, according to Charles Schwab’s SDBA Indicators Report.
The Markets
Participants Favored Fixed Income in February
On 89% of the trading days, 401(k) participants moved the majority of their money into fixed income, according to the Alight Solutions 401(k) Index
Some Say Investors Are Better Served by Tactical TDFs
The Great Recession prompted many target-date fund managers to begin to consider tactical glide-path deviations based on market conditions and...
Smart Beta Adoption Hindered by Adviser Inexperience
Strategic beta products offer advisers the opportunity to fine-tune investment exposures, but the strategies demand “increasing intellectual capital to select amid an abundance of options.”
Target-Date Solutions Reach $1.77 Trillion in Assets
CIT-based solutions grew, while mutual fund-based solutions declined in 2018, according to Sway Research.
PGIM Fixed Income Experts Promote LDI Strategies for Pension Protection
Liability-driven investing is growing more important as pension plans broadly move into a phase where they are not growing but instead need to be focused on meeting their...
As Volatility Slowed in January, so Did Trading Activity
It was the slowest start to the year in the 20-plus years of the Alight Solutions 401(k) Index.
Liquidity Buckets and Other Strategies to Protect Boomers’ Savings
Building sources of near- and mid-term liquidity is increasingly important for Baby Boomers.
Managed Account QDIA Mechanics Challenge Plan Sponsor Clients
ERISA attorneys and plan design consultants say they are hearing more questions from sponsors about using managed accounts as a...
Gen Xers Should Consider Sequence of Returns Risk
The recent bouts of equity market volatility highlight the importance of balancing portfolio growth aspirations with the need to protect...
Plan Sponsors Have Questions About Dynamic Default Investments
Progressive plan design features take time to catch on, including the emerging “hybrid QDIA” approach that pairs TDFs and managed accounts; experts say plan sponsors are interested, but...
Lockheed Martin Announces Pension Risk Transfer
In December 2018, certain of the corporation's pension plans used pension trust assets to purchase group annuity contracts from insurance companies for $2.6 billion.
For Millennials, Market Volatility Can Bring Opportunity
While workers with nearer retirement dates fret stock market volatility, Millennials have the chance to buy discounted shares and enjoy...
Optimal Number of 401(k) Investment Categories Between 12 and 20 Study Says
Offering fewer than 12 categories may mean participants are not being given sufficient opportunity to diversify, and offering more than 20 could lead to lower average investment in...
Retirement Plan Investments Should Be Low-Cost and Not Overlap
These are just a couple of the tips Conrad Siegel offers for retirement plan investment lineups.
Market Effects on Pension Funded Status Give Reason to Review Investment Strategies
“Looking forward to 2019, we think many plan sponsors will continue to explore risk transfer activities as well as review their investment policies to ensure they are aligned...
Alight Solutions 401(k) Index Shows Busy Trading Year for 2018
On the one hand, participants were very active during the year, with 46 days of above-normal daily transfer activity; on the other hand, net trades in 2018 amounted...
Fiduciary Training Needed by Nonprofit Clients
Findings in a new CAPTRUST survey report suggest there may be opportunities for advisers to support board-level investment and fiduciary training at endowments and foundations.
Investment Managers Foresee a Bumpy Upward Ride in 2019
Despite a global economic slowdown and increased trade tensions, most major asset managers are not predicting an imminent recession—instead they are urging clients to embrace diversification and stick...
This Plan Sponsor Is All-In on ESG TDFs
Many plan sponsors fear being a trendsetter, but United World College-USA is proud of using ESG investing themes in its...