The Evolving Defined Contribution Landscape
To get a clearer view of the current DC landscape PGIM surveyed more than 100 plan sponsors and a host of leading OCIO providers, looking at 3 key areas.
While some plan sponsors have loaded their investment menus up with passive, low-cost funds as a result of the increasing lawsuits being brought against retirement plans, investment experts suggest this may not be the best approach.
In an article from PLANSPONSOR, PGIM’s Head of Institutional Defined Contribution, Josh Cohen, suggests that defined contribution plan sponsors should instead offer a mix of active and passive investments, highlighting the diversification benefits, increased potential for better outcomes, and fiduciary protection this approach provides.
*PGIM does not establish or operate pension plans.