Insights from 20 Years of Managed Account Program by Edelman Financial Engines

Edelman Financial Engines (EFE) has released a groundbreaking report that highlights the impact of managed accounts on retirement savings over the past 20 years. The report, titled “Igniting Growth Through Innovation,” showcases data and insights gathered from EFE’s managed account program, which has helped millions of employees save for retirement.

Managed accounts have evolved from simple asset allocators to comprehensive financial planning platforms that provide personalized support to individuals managing their retirement investments. EFE’s program offers professional advice, financial planning, and independent advisor services to employees seeking a customized approach to retirement planning.

The report reveals that managed account members are contributing more to their retirement accounts compared to non-members, with an average savings rate of 9.1% of income. Additionally, nearly half of managed account members are 50 years or older, indicating a need for personalized planning as retirement approaches.

One key finding from the report is the increase in members sharing personal data and goals, leading to a more tailored and engaging experience. The number of members providing personal information has doubled in the last decade, highlighting the demand for customized financial advice.

EFE’s research also shows that managed account members have higher confidence in their investment strategies and are more likely to achieve their retirement goals. The report emphasizes the value of human advice in helping members navigate complex financial decisions, especially during market volatility.

Looking ahead, EFE aims to continue innovating its managed account services to meet the evolving needs of employees and employers. By leveraging technology and expanding plan designs, EFE plans to enhance the employee experience and drive more successful retirement outcomes.

Overall, EFE’s report underscores the significant impact managed accounts have had on retirement savings and the importance of personalized financial planning in the workplace. As the industry leader in managed accounts, EFE remains committed to empowering individuals of all ages to save more and invest with confidence.

For more information on EFE’s 20-year history and data-driven trends, visit their website.