Future Capital Launches Digital 401(k) Asset Management Tool

Future Capital, which partners with financial advisers to manage client’s 401(k) accounts, has come to market with a digital platform that advisers can use on their own.

The new offering, called Construct, is an online platform by which financial advisers can manage clients held-away 401(k) assets along with the rest of their portfolio, the firm announced Tuesday. The offering extends Future Capital’s service by which it operates as the registered investment adviser managing 401(k) assets in partnerships with advisers.

The firm is bringing the new offering to market because “advisers and firms have different and varying levels of comfort when it comes to holding discretion over their clients’ retirement assets,” it wrote by email, adding that it received feedback from customers that they want more options in the 401(k) asset market.

“We developed Construct to deliver flexibility and optionality to advisors who have long struggled with the challenges of managing held-away 401(k) assets,” says Jay Jumper, founder and CEO of Future Capital. “With our platform, workplace retirement plans are now seamlessly integrated into an advisors’ overall wealth management strategy for a client, enabling advisors to provide truly comprehensive financial advice.”

Construct has a more similar setup to competitor Pontera, which has penned thousands of partnerships with large RIAs and investment managers in recent years with a digital offering that connects advisers to held-away 401(k) accounts. Fees for the service are based on client assets being overseen by the adviser.

Construct has pricing models both at the account and assets under management level, according to the firm.

The platform, when used by an RIA, will give access to its advisers to manage client 401(k)s without the “burden of additional technology, compliance obligations, or staffing requirements,” the firm wrote in the announcement.

“With Construct, advisers can build custom allocations for their clients’ 401(k) assets and maintain their role as a fiduciary, ensuring that their clients’ best interests are always prioritized,” according to the announcement.

Traditionally, when advisers managed client’s 401(k)s, it took coordination with the client or a setup to manage funds through the self-directed brokerage window.

Future Capital was founded by Jumper over 20 years ago under the name ProNvest. The firm rebranded to Future Capital in 2023.

Correction: Fixes to show that Pontera has made partnership deals with thousands of advisories, with only a small number noted publicly.