Voya Financial is working to launch dual qualified default investment alternative options, enticing plan sponsors by offering greater personalization of participants’ retirement investments to win market share from rivals and attract defined contribution plan assets to its managed account products.
The dual default development is a QDIA enhancement currently “in the pipeline” to attract retirement plan sponsors and retirement plan advisers, according to a Voya spokesperson.
“They’re [Voya] catching up with a trend, [as] quite a few other recordkeepers already do this, such as [Charles] Schwab [Retirement Plan Services], Fidelity [Investments], T Rowe Price, etc.,” says Rob Massa, managing director and Houston operations retirement practice leader at Qualified Plan Advisors. “Prior to now, [plan sponsors] basically can pick a target-date as a QDIA or you can pick a managed account as a your QDIA. What a lot of people are starting to do is do what we like to refer to as a hybrid QDIA.”