The novel coronavirus (COVID-19) is affecting travel, commerce, and countless other variables worldwide.

Your plan participants are likely feeling the impact — whether by worrying their retirement is at risk, not knowing if they should make investment changes, or being unsure if they should contribute to the plan at all.

PNC Institutional Asset Management® (PNC IAM) brings our clients ideas to improve participant outcomes by enabling them to contribute, invest to withstand volatility, and stay on track to a successful retirement, even in times of uncertainty.

Helping Employees Help Themselves

Consider discussing the following at an upcoming plan committee meeting. Your PNC Retirement Plan Advisor would welcome the opportunity to participate.

Establish Plan Priorities

Have you prioritized which of these are most important to your organization?

  • Facilitating retirement readiness
  • Reducing risk
  • Reducing or containing costs
  • Decreasing HR staff workload
  • Attracting and/or retaining employees

Evaluate Plan Success

  • Determine what metrics are available to evaluate whether or not you are making progress toward your plan’s priorities.
  • Document and measure the goals for your employee education program.

Optimize Investment Choices

  • Is your committee documenting the plan’s adherence to Investment Policy Statement standards?
  • Could target date funds or managed accounts be a better QDIA option for your participants?
  • Is your investment menu appropriate for your plan’s demographics?

Make It Easy to Participate

Consider:

  • Eligibility and entry date provisions
  • Vesting schedule for employer contributions
  • Employer match formula
  • Roth 401(k)

Capitalize on “Auto” Options

  • Evaluate the effectiveness of your plan’s default auto-enrollment savings rate — could it be higher without reducing participation?
  • Reexamine the contribution cap for your auto-escalation feature.
  • Implement/promote an auto-rebalancing feature.

Customize an Education Strategy

  • Survey employees to determine their financial education needs and interests, including perspectives on market volatility.
  • Consider leveraging a multimedia approach for different employee demographic groups.