Adviceware: Informed Decisions for

the Future

We Speak RetirementIt can be difficult for even the financially savvy to understand all of the different investment options that are available as part of a retirement plan. As reported in a recent survey by Deloitte, 85% of participants surveyed found that determining where to invest and which funds to use confusing.

Adviceware is easy to use, and it provides professional recommendations and insights in a way that empowers plan participants to make informed decisions when planning for their futures.

Using Adviceware is simple:

  • Use the Adviceware program to complete a five-minute evaluation
  • Review the recommended portfolio and related documentation
  • Implement the portfolio  on the plan sponsor site
  • Review every six to twelve months, depending on the participant’s age

Why Adviceware?

Adviceware is not only easy to use—it offers high-caliber, professional advice that leads to proven results.

A recent study by Plan Adviser discovered:

  • Participants who received financial advice held an average of 8.67 funds versus 4.98 funds for those who did not receive advice
  • Those who received financial advice achieved a 3-year annualized rate of return ending 6/30/10 that was an average 2.67 percentage points better than those who did not receive advice
  • The average account balance for participants who utilized financial advice was $107,558 compared with $44,178 for those who did not

This study focuses on face-to-face / one-on-one meetings with participants. These types of meetings do not offer many of the benefits that make Adviceware so reliable and dependable. They do not offer the fiduciary protection for Plan Sponsors like Adviceware software provides. While advice proposed during a one-on-one meeting can vary depending on how the advisor is feeling or the time of day, Adviceware generates consistent, bankable advice.

How Adviceware Works

Once Adviceware is added to a plan, this option becomes available through the participant website. A participant accesses Adviceware and engages in an online financial planning session. At the end of the session, a specific, actionable recommendation is created. This will point the participant to a specific portfolio that is consistent with his or her present investment needs. The participant is free to accept or decline this advice. Once the advice is accepted, the information will be electronically transmitted to a record keeper so it can be implemented immediately within the participant’s account, or the participant can visit their plan sponsor’s site to implement the recommended portfolio. The participant will be reminded to revisit Adviceware periodically to update their profile and implement any changes.

It is important to go through this experience every 6 to 12 months.

Years Until Retirement Repeat Program
Less than 5 Years   Every Six Months
Greater than 5 Years Every 12 Months


The Adviceware Advantage

Adviceware empowers plan participants to make informed decisions about their retirement saving. It is easy to use, yet it provides sophisticated investment counsel. Adviceware boasts a usage rate of 60 -70 % among eligible plan participants. Traditional 401(k) participant advice software usually shows only a 10% participation rate.

For participants, the benefits are clear. On average, participants who are advised make investment errors less than half as frequently as those who are not advised (according to the Department of Labor study.)

When properly used, the Adviceware program may reduce working years and add years to users’ retirement.