Retirement Clearinghouse in the News

Find news articles referencing RCH and our services, including Auto Portability


Mar
19
2022

How to Improve Retirement Readiness in Under-represented Groups

ASPPA Net's Ted Godbout reviews the latest research report from Alight Solutions, entitled "Improving Retirement Readiness for Underrepresented Groups." Reporting on Alight's findings, Godbout highlights the six steps that Alight offers plan sponsors to increase retirement savings for historically under-represented groups. As one of those steps, Alight advises sponsors that "implementing auto-portability can help reduce the number of automatic cash-outs that occur when people change employers" and that auto portability's impact is "most profound for marginalized groups."

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Mar
17
2022

What 401k Advisors Need to Know About Auto Portability

Writing in 401k Specialist, RCH EVP and Chief Revenue Officer Neal Ringquist speaks directly to financial advisors on auto portability. Ringquist firmly believes that financial advisors will enjoy significant benefits from auto portability, but understands that all advisors may not “be there” yet in terms of fully understanding what auto portability is, how they stand to benefit from it, and how they should assess auto portability’s prospects for success. Ringquist walks advisors through important facts, data and information that should facilitate better understanding of auto portability and how it could positively impact their practices.

Mar
15
2022

Supreme Court ruling highlights an expansive definition of plan fiduciary

Writing in BenefitsPro, RCH President & CEO Spencer Williams examines the U.S. Supreme Court's recent Hughes v. Northwestern University ruling, which underscored the need for plan sponsors to err on the side of more rather than less, when considering the scope of their fiduciary responsibilities. While the case focused on high-cost investment options, Williams suggests that the ruling could expose plan sponsors to fiduciary risk for decisions that produce unnecessarily high levels of cash-out leakage, a risk that could be avoided if plan sponsors were to proactively adopt asset portability solutions, such as auto portability.

Mar
09
2022

Why Account Consolidation is Vital to Reduce 401k Cybersecurity Risk

Writing in 401k Specialist, Retirement Clearinghouse EVP & Chief Operating Officer Ricki Ingalls makes the case for consolidation as a means to reduce cybersecurity risks for the 401(k) system. Appealing to common sense, Ingalls notes that “fraud starts small” and that consolidation of small balance 401(k) accounts achieved via auto portability can effectively minimize the cyber “attack surface” these excess accounts represent. Ingalls continues by describing the robust cybersecurity features that have been incorporated into auto portability.

Mar
09
2022

The Full View: The merits of pulling in participants’ external financial information.

PlanAdviser's John Manganaro addresses issues facing job-changing retirement plan participants, and the role financial technology can play in creating better outcomes. Manganaro turns to David Stinnett, principal and head of Vanguard Strategic Retirement Consulting, who identifies cashing out as the "most problematic outcome." Manganaro writes that Vanguard "is now working with Retirement Clearinghouse (RCH) to provide plan sponsors with a new portability solution meant to simplify making small-balance 401(k) rollovers" -- adding that "once operational, the automatic portability program will be able to facilitate the movement of an employee’s 401(k) savings account from a former employer’s plan into an active account with the current employer."

Mar
04
2022

Toward a Sustainable and ‘Greener’ 401k System

Writing in 401k Specialist, RCH’s Tom Hawkins reacts to the DOL’s 2/14/22 Request for Information (RFI) seeking comment on ways to “protect life savings and pensions from threats of climate-related financial risk.” Hawkins contends that our retirement system itself has significant sustainability problems that are more financially material to future retirees than climate change. Hawkins urges action to address the 401(k) system’s inefficiency and waste, which could “produce more of the ‘green’ that will matter to future retirees.” Hawkins notes the findings of a recent Brookings Institution report on the problem of small retirement accounts, which recommends improvements in “combining accounts” and includes support for auto portability.

Mar
02
2022

Long Overdue, Pension Auto Portability Is Coming

Writing in the Pension Research Council's (Wharton School, Univ. of Pennsylvania) RetireSecure Blog, Michael Kreps of the Groom Law Group offers his considered view on auto portability, which Kreps believes "is likely to have an enormous impact on the US retirement system" by reducing cashout leakage and consolidating retirement savings. In the piece, Kreps cites a variety of industry statistics and projections, concluding that auto portability "will undoubtedly preserve many small accounts, making retirement more secure for millions of people."

Feb
28
2022

How to Improve Retirement Readiness in Under-represented Groups

NAPA Net's Ted Godbout reviews the latest research report from Alight Solutions, entitled "Improving Retirement Readiness for Underrepresented Groups." Reporting on Alight's findings, Godbout highlights the six steps that Alight offers plan sponsors to increase retirement savings for historically under-represented groups. As one of those steps, Alight advises sponsors that "implementing auto-portability can help reduce the number of automatic cash-outs that occur when people change employers" and that auto portability's impact is "most profound for marginalized groups."

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