Opportunities abound for financial advisors who want to work with employer-sponsored retirement plans.
That’s the main takeaway in Fidelity’s latest “Plan Sponsor Attitudes Survey,” which found that although plan sponsor satisfaction with their advisors has steadily increased over the past six years, 38 percent of plan sponsors are less-than-satisfied or not satisfied with their advisor. Ten percent of plan sponsors say they are actively looking to switch advisors.
Fidelity surveyed 937 plan sponsors who use a variety of record-keepers. Plan sizes ranged from 25 to 10,000 participants and Fidelity was not identified as the survey sponsor.
The number of plans using an advisor jumped 9 percentage points to 84 percent this year. Fifty-eight percent of those surveyed said they need an advisor’s help to plan investments; 53 percent want a better understanding of how well the plan is working for employees; 48 percent were concerned about their fiduciary obligations and 31 percent said they have less time to devote to the plan.
A staggering 42 percent of plan sponsors said they are not confident they understand their fiduciary responsibilities.