ADVICE IS NOT ENOUGH

Studies show that individuals pay little to no attention to what will
likely be their main source of retirement funding—their 401(k)
account. Even when given advice from a financial advisor, many fail
to follow through on that advice because they're too busy or they
lack the confidence to make the changes needed. That's where
StraightLine can help. We don't just give advice—we actually
manage the employee's investments—making the necessary
changes for them.

THE PROBLEM:
Even when given advice many fail to act on that advice. A vast majority of 401(k) investors who are offered advice—regarding how to allocate their portfolios between stocks and bonds, and which mutual funds to choose among their investment options—don't take it. A recent survey by Deloitte Consulting found that less than 7 percent of 401(k) investors who had access to advice actually used it to manage their accounts. ¹

Those who do attempt to implement the advice on their own often do not implement the complete plan mapped out for them. A financial advisor or online advice service will attempt to map out a balanced portfolio for an individual. But left to their own devices to make the actual changes, many employees do not follow the complete plan. And not following the complete plan can often be worse than doing nothing at all.

Many don't make the changes in a timely manner because they're just too busy to manage their retirement account. You arrive home after a hard day at work, fix dinner, wash the dishes, do the laundry and help your kids with their homework. When you finally have a chance to sit down, it's 10 PM. And now you're supposed to figure out how to invest your retirement money? When the advice isn't followed in a timely manner market conditions, personal situations and other factors may change —rendering the advice irrelevant.

Educational seminars aren't cutting it either. Research has found that few employees attend financial seminars even when they are offered in the workplace. Many who attend do not absorb what they hear, for lack of understanding or lack of interest.²

THE SOLUTION:
Pro(k)—StraightLine's Managed Retirement Account Service
StraightLine provides full-service "do it for you" 401(k), 403(b) and 457 investment management for participants who prefer having an absolutely independent third-party research team manage their account investments within their existing employer-sponsored retirement plan. Keep in mind, we don't just give advice—we actually manage the account—making changes to investments as needed throughout the year.

You can offer this much-needed service to your employees at no cost to your company. Call StraightLine today to find out how you can help your employees get the most out of your retirement plan.

¹ Source: Fundamentally: Take My Nest Egg. Please. The New York Times, 2006

² Financial Literacy. The Economist, 2006

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