Total retirement outsourcing — which has been championed by providers including Fidelity Investments, Boston and Diversified Investment Advisors, Purchase, N.Y., in the past few years — got a lukewarm response. Only 29% of plan sponsors were interested in TRO, he said.
"There has been a lot of buzz with TRO, but there hasn't been execution at a plan level. There really hasn't been a huge movement to TRO," he said.
A whopping 70% of plan sponsors indicated they are unlikely or very unlikely to add a Roth 401(k) plan. "It will take a couple of years for plans to understand it and see if it makes sense for their employees. It is a fairly sophisticated planning decision and sponsors will not rush into offering it," said Mr. Walper.
But the study was not without news of growth opportunities.
The main areas of growth have been investment advice and managed accounts, said Mr. Walper. "Managed accounts are a huge focus for everyone right now. If participants realize they need it, they will use it," he said.
Mr. Walper said 28% of plans have a managed account option and 8% of plans are likely to add the feature in the next 12 months. About 65% of plans offer an investment advice component.