Participant Equity Allocations Up Slightly in November

November was another slow trading month in defined contribution plans with no days of above-normal trading activity, according to the Aon Hewitt 401(k) Index.

Participants favored fixed income over equities when they made trades. In November, 60% of the trading days showed more inflows to fixed income.

However, large U.S. equity funds received the most inflows, at $112 million. International equity took in $30 million, and GIC/stable value funds posted $26 million in net inflows.

Topping the list of fund outflows were target-date funds ($118 million), while small U.S. equity funds posted a net $27-million outflow and participants transferred $19 million out of company stock funds.

After combining contributions, trades, and market activity, the overall equity allocation in participants’ accounts rose to 65.6% at month-end, up slightly from 65.5% at the end of October. Future contributions to equities increased to 66.4%, from 66.0% in October.

More information from the Index is here.