Financial Engines to Offer 401(k) Savers Free Access to Advisers

via Wall Street Journal

Financial Engines executives rang the Nasdaq opening bell in March 2010 to celebrate the company's IPO. Five years later, the company is making a bid to entice investors to its managed accounts.

A giant in the business of guiding 401(k) plan savers is making a push to offer millions of those investors access to its human advisers as well as online tools.

Financial Engines Inc. hopes the move will appeal to employers looking to help workers achieve “financial fitness,” while also enticing more individual savers to hire the Sunnyvale, Calif., firm to manage their 401(k) money for a fee.

The development comes at a time when many financial companies are looking for ways to combine computerized and human assistance, as automated “robo advisers” challenge traditional one-on-one advice relationships. Vanguard Group recently launched a service that includes both Internet-based advice and contact with a salaried Vanguard adviser.

Roughly nine million people currently have access to Financial Engines’ services through an online tool, which is paid for by fees charged to plan sponsors.


About thebenefitblog

Eric is a Producer at Lockton Insurance Brokers, Inc., the world’s largest privately held commercial broker. Eric has over 23 years of experience in the insurance industry and has spent the last 11 years with Lockton. Eric specializes in Health & Welfare Benefits, Retirement Planning, and Executive Benefits. Eric's clients utilize his expertise in the areas of Plan Due Diligence, Transaction Structure, Fiduciary Oversight, Investment Design, Compliance and Vendor negotiation to improve the operational & financial outcome for each client. The Benefit Blog is a place to share that expertise and industry news.
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