Can Managed Accounts Improve Plan Engagement?
Many employees say they aren’t confident about saving or investing for retirement.* They may feel unsure about making investment decisions or how much to save from each paycheck. There are a variety of options advisors can use to support retirement readiness while still offering value as an investment expert, such as managed accounts.
A managed account can offer peace of mind to employees, as a professional manages the account for them. This works by offering both planning and managing. Professional investment management can fill in the gaps and help employees better plan for the future.
These services can help plan participants navigate periods of high volatility or market changes. They use a disciplined investment approach that helps to ensure better outcomes.
As one example, a managed account program like StanCorp Investment Advisers' Mainspring Managed can help keep participants on track for saving and drive engagement in the plan. Managed account advisors help address client concerns and optimize employee retirement. On average, plans using Mainspring Managed experienced:
- 33% higher adoption rate than industry average of those opting for advice services
- 30% higher participation rate than non-Mainspring plans
- 19% higher contributions than industry average
- 4x the growth in contribution rate than non-Mainspring plans*
This can also help reduce the workload to the advisor. Mainspring can also be a qualified default investment alternative.
Consider talking to your clients about adding a managed account option to their retirement plan and help their employees save for the future.