The recent economic turmoil may be having more of an effect on 401(k) plans and other employer-sponsored retirement plans than some surveys have indicated.
Some organizations have released survey results indicating that consumers are worried but holding tight, but researchers at the International Foundation of Employee Benefit Plans, Brookfield, Wis., say an October survey of 1,089 retirement plan sponsors indicates that participants are starting to make changes.
About 30% of the participating sponsors said defined contribution plan participants have cut overall plan contributions, and 34% said plan participants seem to be reducing exposure to stock and stock funds, according to the IFEBP researchers.