The Value of a Financial Advisor to a 401(k) Plan

For many employers, offering a retirement plan to employees can seem intimidating; fiduciary and administrative responsibilities may seem overwhelming and feel difficult to manage. A dedicated Financial Advisor can help ease this pressure.

Morgan Stanley at Work conducted a study of plan sponsors working with various firms and asked their first-hand perception of Financial Advisor involvement and planning with their retirement solutions. What we found is overwhelming support from sponsors who find great value in leveraging Financial Advisors to oversee their plan.

3 Key Survey Findings:

  1. 1
    Financial Advisors can help deliver confidence to plan sponsors

    Plan sponsors value the support Financial Advisors offer when helping them oversee investment management, fiduciary, and administrative responsibilities. Financial Advisors can give plan sponsors confidence in addressing the demands of providing a workplace retirement plan to their employees. 

  2. 2
    Retirement plans with Financial Advisors offer more robust features

    Having access to a dedicated Financial Advisor to provide guidance may result in a retirement plan with more design options that a plan sponsor alone may not have previously considered. 

  3. 3
    Plan sponsors agree that companies may offer better outcomes to employees when Financial Advisors are involved in their workplace retirement plan

    According to the survey, 87% of plan sponsors agree that their employees experience better retirement outcomes when a Financial Advisor is involved to oversee plan design implementation.  A Financial Advisor can help make recommendations that a plan sponsor may not consider on their own, as well as perform needs assessments and provider searches, which can lead to increased engagement and participation in the plan.  

Find out more in the full report

See how Financial Advisor support with retirement plans may result in better retirement solution outcomes for plan sponsors and their employees.