Plan sponsors aren\u2019t hiring advisors so they can get fancy PowerPoints or attendance at cocktail events, increasingly, they\u2019re paying for outcomes. NAPA\u2019s latest slice-and-dice of Fidelity\u2019s Plan Sponsor Attitudes Study shows a clear message: for the fourth year in a row, what sponsors value most is simple: did the advisor help participants save more? Did participants retire with more money?<\/p>\n
If you\u2019re an advisor who wants to be highly valued, here\u2019s what I\u2019d tell you over a late-night Zoom\u2014no \u201cfiduciary theater,\u201d just real talk from someone who\u2019s advised sponsors, litigated plan disputes, and watched too many retirement disasters up close.<\/p>\n
1. Stop Talking About \u201cCompliance\u201d First \u2014 Start with Participant Readiness<\/p>\n
Way too many advisors lead with compliance checklists, fee reviews, or plan design resets. Don\u2019t get me wrong\u2014those are important. But when sponsors hear \u201cfiduciary duty\u201d and \u201csafe harbors,\u201d they don\u2019t hear value. They hear expense.<\/p>\n
Instead, lead with retirement readiness. Do participants have a shot at retiring? What happens if the 60-year-olds suddenly stop working? How would current savings fall short? When you frame the discussion in terms of \u201cWill my employees retire with dignity?\u201d you\u2019re speaking the sponsor\u2019s language\u2014not your own.<\/p>\n
2. Metrics Matter \u2014 Show Me How You Move the Needle<\/p>\n
Sponsors want numbers. They want to see the needle move. Demonstrate how your interventions\u2014whether they\u2019re auto-enrollment tweaks, matching strategy changes, participant education meetings, or wellness campaigns\u2014have led to measurable improvements in savings rates, contribution levels, asset allocation shifts, and retirement confidence.<\/p>\n
If you can show that participants in \u201cyour\u201d plans are increasing savings rates year over year, or shifting into more appropriate asset allocations as retirement nears, you\u2019re speaking their language. If all you have is \u201cI talked to them\u201d or \u201cwe conducted a webinar,\u201d that doesn\u2019t move the dial. Save the webinars for the marketing slide; sponsors want impact.<\/p>\n
3. Education Isn\u2019t a Nice-To-Have, It\u2019s a Core Fiduciary Strategy<\/p>\n
Sponsors told Fidelity they want advisors to take the lead on financial planning, financial wellness, and retirement income education. Targeted education\u2014especially for newer or younger employees, was flagged as a major gap and opportunity.<\/p>\n
So here\u2019s the rub: advisors who see education as an add-on are missing the point. Education isn\u2019t just nice, it\u2019s essential. Every session, every tool, every follow-up conversation is a chance to nudge participant behavior. The real work is getting people to act, whether that means increasing savings, choosing better investment mixes, reducing debt, or making intentional retirement income choices.<\/p>\n
If you aren\u2019t delivering education that actually changes behavior, you\u2019re not delivering value.<\/p>\n
4. Plan Design Advice Isn\u2019t Just for Lawyers, It\u2019s an Advisor\u2019s Secret Weapon<\/p>\n
The best advisors I know aren\u2019t just good with investments, they\u2019re plan architects. They know how to tweak match formulas, adjust auto-enrollment parameters, fine-tune default options, and repurpose features like in-plan Roth or auto-escalation so participants actually use them.<\/p>\n
When you come into a sponsor conversation talking only about fund menu changes or fee compression, that\u2019s one-dimensional. Sponsors are juggling competing priorities: recruitment, retention, DEI, mental health, regulatory shifts, and benefits cost-disclosure burdens. If you can help them adjust their plan design to meet evolving needs, you\u2019re not just a vendor\u2014you\u2019re a strategic partner.<\/p>\n
5. Engagement Isn\u2019t Optional \u2014 It\u2019s Your Differentiator<\/p>\n
If your idea of \u201cparticipant engagement\u201d is sending an annual statement or dropping a link to a calculator\u2026 stop. Sponsors value advisors who drive engagement, period. Whether it\u2019s one-on-one counseling, cohort seminars with follow-up, mobile nudges, savings challenges, or personalized retirement projections\u2014engagement is what leads to behavior change.<\/p>\n
Fight the temptation to do \u201cone-and-done\u201d education. We know employers are exhausted by too many demands\u2014new legislation, disclosures, wellness mandates. But consistent, meaningful follow-up is what separates advisors who make a difference from those who produce a brochure.<\/p>\n
If you can prove you raised employee engagement metrics\u2014not just webinar attendance\u2014you\u2019ve earned your place at the table.<\/p>\n
6. Tell the Sponsor the Whole Story \u2014 Don\u2019t Just Pitch a Fund<\/p>\n
Too often, advisors pitch a fund lineup or a new investment option and stop there. They don\u2019t tell the whole story of participant experience. What happens if an employee loses their job? What happens if they retire early or need to withdraw? What do distributions or RMDs look like? What are their income options in retirement?<\/p>\n
Until advisors connect investment strategy to income strategy, and tie both to participant life events, they\u2019re missing half the equation. Sponsors know this. They want advisors who can walk them through the participant journey, from day one to distribution, and help avoid what I call \u201cretirement regrets.<\/p>\n
Final Word<\/p>\n
If you want to be one of the advisors sponsors rave about, you need to shift your mindset. Your value isn\u2019t in fee comparisons or quarterly performance charts\u2014it\u2019s in preparing participants for retirement, creating meaningful engagement, and designing plans that work for employees, not just for compliance.<\/p>\n
Sponsors don\u2019t want order-takers. They want partner-advisors who see the retirement plan not as a legal obligation, but as a vehicle to create outcomes\u2014real, measurable, long-term outcomes\u2014for those who rely on it.<\/p>\n
<\/span><\/p>","protected":false},"excerpt":{"rendered":" Plan sponsors aren\u2019t hiring advisors so they can get fancy PowerPoints or attendance at cocktail events, increasingly, they\u2019re paying for outcomes. NAPA\u2019s latest slice-and-dice of Fidelity\u2019s Plan Sponsor Attitudes Study shows a clear message: for the fourth year in a … Continue reading