Investors Say Meetings With Advisors on 401(k) Plans Are Highly Effective

A one-on-one meeting with a financial professional is the most effective way for a worker to get information or advice about a 401(k)-type retirement plan, according to a Gallup survey of investors.
Some 71 percent of the investors surveyed said such meetings with human advisors are “highly effective” and 21 percent said they are “somewhat effective.” Employer-sponsored seminars or presentations ranked as the second most effective source of information and advice, with 46 percent of those surveyed rating them “highly effective” and 36 percent saying they are “somewhat effective.”
Other sources that ranked lower on the list include: information posted on a company Web site, brochures and other written material, information sent via mobile devices and information distributed via social media.
When asked “the main aspect of managing [a] 401(k)-type plan” where advice is helpful, the most common answers given by investors were: “which funds to invest in,” “whether to reallocate as conditions change” and “all/multiple” aspects.
The Department of Labor is preparing to propose new regulations on many advisors who provide advice to investors who have 401(k)-type retirement products. NAIFA has expressed concern, based on statements made by members of the Obama administration, that the new regulations could hinder the ability of advisors to serve lower-and middle-income workers. The Gallup survey results highlight how important it is that any new regulations do not make it more difficult or expensive for consumers to get retirement planning advice.
  • Posted March 31, 2015 IN
  • Comments (1)

Great article! People often don't realize how simply they can get information on 401k plans - just talking face to face with someone in their company. Thanks for sharing!
4/1/2015 11:07:24 AM