Participants' reluctance to allocate all of their 401(k) assets into target date and target risk funds signals a communication problem, according to Invesco's bi-annual analysis of the defined contribution market.
The report cites Aon Hewitt's research showing 68 percent of plan participants have money invested in the qualified default investment alternatives.
But the average allocation is only 69 percent of assets, indicating to both Aon and Invesco's analysis that participants are combining TDFs and target risk funds with other investment options.
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