“With great power comes great responsibility.” This solemn quote, originally uttered in a Spider Man comic, seems apropos to the duties employers must fulfill as retirement plan fiduciaries. As it implies, fiduciary responsibility should not be taken lightly.
So what, exactly, is fiduciary responsibility? In short, it’s the duty plan sponsors and fiduciaries have to protect the best interests of retirement plan participants, retirees, and their beneficiaries.
Topics: fiduciary, Business Insights, For Business, fiduciary liability, Fiduciary Responsibility, Fiduciary Duty, fiduciary best practices
Historically, retirement plan sponsors, advisors and recordkeepers have assessed plan health based on fundamental metrics such as participation and deferral rates. While these are significant on their own merits, they don’t reveal anything about “retirement readiness” — that is, how financially prepared an organization’s workforce is for retirement. After all, the key purpose of a workplace retirement plan is to provide employees an opportunity to set aside a portion of their earnings to build financial security for their so-called “golden years.”
Topics: Business Insights, financial wellness, retirement readiness, plan metrics, participant readiness, retirement plan health metrics, plan analytics dashboard, DC plan analytics, 401(k) health analytics, plan analytics, plan health metrics
Article written by Olivia Jack, Corporate Insights
The emergence of plan health data and tools that intuitively communicate critical plan and aggregated participant metrics continues to be the most prominent trend within the digital plan sponsor arena. At the start of 2017, 40% of firms within the Retirement Plan Monitor – Institutional coverage set offered some sort of plan health tool.
Topics: Business Insights, For Business, plan sponsor dashboard, Retirement outcomes, retirement readiness, plan analytic dashboard
