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Retirement Planning > Retirement Investing

Fidelity DC Plan Assets Top $1 Trillion

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Fidelity Investments announced on Tuesday that it administers $1.4 trillion in defined contribution assets and lost just 1% of its DC business in the first half of 2014.

The firm said sales and commitments topped $37 billion in the first half of the year, as Fidelity added over 1,000 new client plans with 661,000 participants. This marks the second year of elevated sales for Fidelity since 2012.

Furthermore, sales weren’t limited to a specific market segment, with new business coming from large firms, not-for-profits and emerging companies.

Some of the larger plans Fidelity added are at Fortune 500 companies like FirstEnergy and Tenneco, as well as Bimbo Bakeries and Winn-Dixie grocers. Smaller companies include Space Vector Corp. and Akron Steel Treating Co.

“Fidelity is hyper-focused on delivering outstanding service and innovative products that provide better results for both plan sponsors and their participants,” Jim MacDonald, president of Workplace Investing for Fidelity, said in a statement. “By investing in our business and developing technologies and solutions that extend access to workplace savings tools and insights, we’re able to deliver long-term value.”

Among those solutions are tools like Executive Insights, which provides employers with an analytics dashboard to help them understand how the retirement plan is performing; and Easy Enroll, an online enrollment process that adopts behavioral finance principals to overcome employee inertia. According to Fidelity, the three-step process helps participants choose an appropriate savings rate and allocation, then encourages them to elect an annual increase.


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