Newsdash Insight on Plan Design & Investment Strategy from PLANSPONSOR
December 31st, 2015
Benefits & Administration
Streamlined Investment Menu Could Save Participants Millions
A new research paper by Donald B. Keim, the John B. Neff Professor of Finance at The Wharton School, University of Pennsylvania, and Olivia S. Mitchell, professor of insurance, risk management and business economics with Wharton’s Policy Pension Research Council, takes a deep dive into an interesting case study in which a real retirement plan sponsor fundamentally reworked its investment menu. The research clearly shows the reformed menu promoted better decisionmaking by retirement plan participants, and researchers estimate it could lead to millions in savings for plan participants.Read more >
The New Jersey Senate budget committee has approved a bill creating a retirement program for private-sector workers that are not offered employer-sponsored plans. The “New Jersey Secure Choice Savings Program Act” would require employers with 25 or more employees that do not sponsor their own retirement plans to automatically enroll employees into a state-run program.Read more >