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Survey by International Foundation of Employee Benefit Plans Finds DC Sponsors Are Making Plan Changes in Face of Economic Downturn
planadviser
May 13, 2009 Excerpt: An IFEBP news release said 13% of DC plan sponsors have changed their investment product offerings as a result of the crisis -- almost double the 7% who reported doing so six months earlier. Of the 13% who have implemented changes, 21% added more low-risk investment choices, 18% increased diversification, 16% added lifecycle (target-date) funds or money market funds, and 15% added government-backed options. The poll found 16% of DC plan sponsors reduced or eliminated employer matches as a result of the economic situation. Of those who report having changed their match, 44% have reduced the amount of the match and 52% have suspended the match all together. MORE >> |
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