Solutions for IRA Providers
With 8% to 12% of participants terminating each year, many 401(k) plan providers pursue IRA rollovers as their key asset retention strategy. But executing a rollover program carries certain issues:
- Costs of acquisition: Particularly for lower balance accounts, the costs associated with handling distribution and rollover requests create minimal economic value
- Maintaining state-of-the-art touch points: Lack of participant engagement in the initial termination event, creates the need for ongoing communication to efficiently identify high-valued prospects and market alternatives
Cost savings
Asset retention
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