RESEARCH |

2023
PLANADVISER Retirement Plan Adviser Survey

Reported by PLANADVISER | Art by James Yang
Retirement Plan Adviser Preferences
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Retirement Plan Adviser Preferences

Retirement Plan Adviser Preferences

Top 5 Criteria Used in Selecting Core Fund Lineups
1) Performance vs. benchmarks or peer groups63.6%
2) Total performance (5-year return)46.1%
3) Fee structure for plan42.4%
4) Third-party scoring of funds39.4%
5) Total performance (10-year return)31.5%
6) Management philosophy29.7%
7) Upside / Downside capture ratio26.1%
7) Alpha, beta and standard deviations26.1%
9) Share class availability20.6%
10) Manager tenure18.8%
10) Brand recognition / Reputation18.8%
Most Important Criteria Used in Selecting Core Fund Lineups
1) Performance vs. benchmarks or peer groups30.2%
2) Third-party scoring of funds19.1%
3) Fee structure for plan8.6%
4) Total performance (5-year return)8.0%
5) Total performance (10-year return)6.8%
6) Plan demographics5.6%
7) Upside / Downside capture ratio3.7%
8) Adviser support3.1%
8) Alpha, beta and standard deviations3.1%
8) Management philosophy3.1%
Top Criteria Used in Selecting QDIA
1) Glide path construction52.1%
2) Pricing / Fees46.7%
3) Plan demographics or participant needs34.1%
4) 5-year performance27.5%
5) Quality of underlying investments / sub-advisers25.7%
6) Investment philosophy19.8%
7) 10-year performance15.0%
8) Brand recognition / Reputation13.2%
9) Upside / Downside capture ratio10.8%
10) Volatility9.6%
10) 3-year performance9.6%
Top Criteria Used in Selecting Plan Recordkeeper
1) “Value for price”55.6%
2) Fee structure for plan (i.e., fee equalization, basis points vs. fixed, etc.)51.0%
3) Quality and consistency of sponsor support49.7%
4) Quality / Knowledge of service teams reps43.8%
5) Payroll integration options33.3%
6) Website tools for participants30.7%
7) Investment options available28.8%
8) Adviser support (i.e., value-added adviser services)25.5%
8) Flexibility of recordkeeping systems and processes25.5%
10) Brand recognition / Reputation20.3%
10) Quality and effectiveness of participant education20.3%
Most Recommended Fund Family
1) Vanguard98 votes
2) Fidelity Investments76 votes
3) Capital Group / American Funds71 votes
4) J.P. Morgan Investment Management30 votes
5) T. Rowe Price21 votes
6) BlackRock / iShares20 votes
7) MFS Investment Management14 votes
Most Recommended TDF Fund Families
1) Capital Group / American Funds83 votes
2) Vanguard82 votes
3) Fidelity Investments59 votes
4) T. Rowe Price56 votes
5) BlackRock33 votes
6) J.P. Morgan Asset Management17 votes
7) TIAA16 votes
Most Preferred Asset Managers
1) Vanguard93 votes
2) Fidelity Investments81 votes
3) Capital Group / American Funds75 votes
4) J.P. Morgan Asset Management61 votes
5) T. Rowe Price58 votes
6) BlackRock53 votes
7) MFS Investment Management39 votes
Top 10 Individual Funds Preferred by Plan Advisers
1) Fidelity 500 Index Fund31 votes
2) Vanguard 500 Index Fund25 votes
3) J.P. Morgan Large Cap Growth Fund15 votes
4) PIMCO Income Fund10 votes
4) American Funds EuroPacific Growth Fund10 votes
6) American Funds American Balanced Fund9 votes
7) American Funds New Perspective Fund8 votes
8) American Funds The Growth Fund of America7 votes
8) Putnam Large Cap Value Fund7 votes
8) American Funds The Bond Fund of America7 votes
8) Vanguard Mid-Cap Index Fund7 votes

Respondents could select up to five criteria for overall investment selection and three criteria for qualified default investment alternative selection.