Sponsors Don’t Always Recognize What Advisors Do

Sponsors do not always recognize the services advisors provide, potentially leading to confusion about what sponsors get for the fees they pay. The graph below, sorted by percent of sponsor recognition, illustrates the discrepancies between what advisors and sponsors say:

More advisors say they provide services than sponsors recognize1

More advisors say they provide services than sponsors recognize

Source: Voya Investment Management

Large plan sponsors are more likely to recognize their advisors provide support for investment selection and plan fiduciary responsibilities, but may not recognize support for financial wellness. By contrast, small- and mid-size plan sponsors are more likely to say their advisors support financial wellness, but perceive less help with selecting plan servicers. Advisors need to communicate their added value more effectively.

Survey of the Retirement Landscape: Insights from Current Research

Voya Investment Management recently released the second edition of its survey of retirement plan sponsors and plan advisors, to identify and better understand the current service needs of sponsors and help DC-focused advisors better align their offerings and priorities to meet those needs. Though some perceptions have changed since the initial survey in 2016, views on a few key issues have evolved and several new issues have arisen. We present key findings of the study in this series of insights. For all the research results, read Survey of the Retirement Landscape: Challenges and Opportunities for Advisors.

933968

1Sponsors: For which of the following retirement plan functions does your financial advisor offer or provide help? Advisors: To what extent do you offer or provide help with the following types of support for retirement plans that you work with?

This information is proprietary and cannot be reproduced or distributed. Certain information may be received from sources Voya Investment Management (“Voya IM”) considers reliable; Voya IM does not represent that such information is accurate or complete. Certain statements contained herein may constitute "projections," "forecasts" and other "forward-looking statements" which do not reflect actual results and are based primarily upon applying retroactively a hypothetical set of assumptions to certain historical financial data. Actual results, performance or events may differ materially from those in such statements. Any opinions, projections, forecasts and forward-looking statements presented herein are valid only as of the date of this document and are subject to change. Nothing contained herein should be construed as (i) an offer to buy any security or (ii) a recommendation as to the advisability of investing in, purchasing or selling any security. Voya IM assumes no obligation to update any forward-looking information.