Each year, an estimated $800 billion leaks from 401(k) plans into IRAs—often bypassing plan advisors. Major record keepers like Fidelity, Schwab, and Vanguard dominate this rollover market thanks to integrated platforms, strong brand recognition, and direct access to participant data.
Meanwhile, many advisors—especially those working with smaller accounts—struggle to compete. Third-party firms like iJoin, IRALOGIX, Penchecks, and Inspira are stepping in to level the playing field with tech-driven, low-cost IRA solutions that help advisors manage even the smallest balances profitably.
Although 63.5% of rollovers went to advisors in 2023, winning and retaining these assets now requires more than just intent—it demands smart technology, marketing, compliance, and first-call access. As the battle between record keepers and advisors heats up, scalable solutions may be the deciding factor.
Read more in Fred Barstein’s latest column, “401(k) Industry Scrambles to Stem $800B IRA Rollover Leakage.“
