As the retirement plan industry experiences consolidation, smaller record keepers and retirement plan advisors need innovative solutions to remain competitive. The retirement plan industry is experiencing significant consolidation among 401(k) national record keepers, reducing their number from well over 120 to the current 43. While fees are a driving force behind this consolidation, retirement plan advisors are still in the second phase of consolidation, with smaller deals compared to the larger ones among record keepers. While larger national providers like American Funds and Schwab have unique positions, smaller regional record keepers are facing challenges due to the need for scale and the rising cost of technology.
In this landscape, iJoin, a tech firm offering goal-based engagement tools, managed accounts, and financial wellness resources, is emerging as a solution for smaller record keepers. iJoin’s user-friendly platform and data management capabilities can serve plan sponsors, advisors, and participants effectively, offering a safe and efficient way for smaller providers to compete in the industry. For retirement plan advisors, iJoin provides an alternative to record keepers who may become their competitors, offering a pathway to better serve participants.
Read more about this in Fred Barstein’s Wealth Management column this week, “Independent 401(k) Record Keepers Offer Alternatives”
