Rodney Dangerfield was one of my favorite comedians and his shtick was that he got no respect. Apparently, advisors working on 401(k) plans are getting respect these days from plan sponsors, based on a new survey from Morgan Stanley.
87% percent of plan sponsors reported that offering access to a plan advisor with a retirement plan delivers better retirement plan outcomes.
About 45% of plan sponsors with a plan advisor noted that 75–100% of eligible employees are enrolled in their company’s 401(k) versus only 33% of plan sponsors without a plan advisor.
In addition, 95% of plan sponsor who responded said the fees associated with a plan advisor is well worth the cost given the investment management (28%), fiduciary guidelines (67%), and compliance (75%) considerations.