to launch webcast replay of November 7, 2012 at 11:00 - 12:00 PM ET
Half of Americans do have access to a retirement savings plan at their workplace. For those that do, about one-third fail to join. And for those that do join tend to save too little and often make unwise investment decisions. The 401(k) arena is in crisis, and workers need sound guidance and help.
This webinar will focus on the behavioral challenges that have led to the crisis- inertia, limited self-control, loss aversion, and myopia. From there we can then begin to understand how the typical worker makes decisions inside their 401(k) account. Then we can begin to transform their behavior by creating solutions, or tools, that are based upon cutting edge behavioral finance research and we can then dramatically improve outcomes by, helping employees:
· Save, even if they aren't ready now by using future enrollment.
· Save more, by helping them see their future selves.
· Save smarter, by re-ordering the fund line-up on the investment menu
We will learn what the ‘401(k) behavioral audit’ is, and why plan sponsors should consider performing such an audit. These audits help us learn how to improve 401(k) plan efficiency and optimization with respect to worker decisions and choice architecture.
Learn how these psychological factors distract employees from making good decisions for successful a retirement:
• Loss Aversion
• Present Bias (Myopia)
We will discuss how using these powerful 'behavioral finance' best practices can create the right decision structure for workers. This will give them access to a successful future, and ensure that they are ready for retirement such that they may retire with dignity.