|Mercer Rolls Out Financial Engines Income+ to 401(k) Clients|
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PALO ALTO, Calif. & NORWOOD, Mass., Oct 31, 2011 (BUSINESS WIRE) --
Financial Engines and Mercer's US Outsourcing business today announced that Financial Engines(R) Income+, the first retirement income solution designed specifically for 401(k) plans, has been rolled out to Mercer's defined contribution administration client base. The first three Mercer clients to go live with Income+ are Freeman, Kinder Morgan and Milacron. Financial Engines has already received commitments from six Mercer plan sponsors to offer Income+ to their more than 50,000 401(k) participants.
"Our clients look to us to help them engage and empower their employees to live, work and retire well," said Dave Tolve, retirement business leader for Mercer's US Outsourcing business. "Income+ is an innovative retirement income solution that can help participants prepare for and retire with confidence, and that translates into a more engaged workforce for our clients. Later this year, we are also enhancing our website by seamlessly integrating Financial Engines retirement forecasts into our online experience, further driving participant retirement readiness."
Of the three companies to go live with Income+ this fall, Milacron will be automatically enrolling all 401(k) participants over age 60 into the service to help them protect their 401(k) assets leading up to retirement and to provide steady, reliable income in retirement. Participants can opt out of enrollment or cancel the service at any time without penalty.
"We want our employees to be well-prepared for retirement and that includes helping them save and invest, as well as helping them figure out how best to use their 401(k) assets in retirement," explained Rodger Hodge, Milacron's director of global human resources. "We decided to automatically enroll all plan participants in professional management with Financial Engines. For those employees nearing retirement, we automatically enrolled them in Income+ because we felt it was important to give every participant the benefit of having access to professional help in preparing for a confident transition to retirement."
Income+ is a feature of Financial Engines' managed account program introduced in January 2011, designed to balance safety and growth in the years leading up to retirement. It provides steady monthly payouts from a 401(k) account, which can last for life with the optional purchase of an out-of-plan annuity. The Income+ feature is available to participants in Financial Engines' managed accounts program at no additional cost. Income+ does not require employers to add an annuity or change the fund line-up in their plan.
As part of a managed account, Income+ gives employees control of their money, which stays in their 401(k) account and doesn't lock them into a particular investment or insurance product. Employees can start payouts, stop payouts, take additional withdrawals or cancel at any time without penalty, giving them full access to their 401(k) savings as needed.
"We are excited to have another large 401(k) provider go live with Income+, making the valuable retirement income service available to more participants nationwide," said Larry Raffone, executive vice president at Financial Engines. "We are committed to working with our recordkeeping partners to integrate our services into their participant experiences, which will translate into more participants getting the retirement help they so urgently need."
Mercer is a global leader in human resource consulting, outsourcing and investment services. Mercer works with clients to solve their most complex benefit and human capital issues by designing, implementing and administering health, retirement and other benefit programs. Mercer's investment services include investment consulting, implemented consulting and multi-manager investment management. Mercer's 20,000 employees are based in more than 40 countries. The company is a wholly owned subsidiary of Marsh & McLennan Companies, Inc., which lists its stock (ticker symbol: MMC) on the New York and Chicago stock exchanges.
For more information, visit www.mercer.com.
Mercer LLC is not affiliated with Financial Engines Advisors L.L.C. and does not provide investment advice.
About Financial Engines
Financial Engines is the largest independent investment advisor, committed to providing everyone the trusted retirement help they deserve. The company helps investors with their total retirement picture by offering personalized retirement plans for saving, investment, and retirement income. To meet the needs of different investors, Financial Engines offers both Online Advice and Professional Management. Co-founded in 1996 by Nobel Prize-winning economist Bill Sharpe, Financial Engines works with America's leading employers and retirement plan providers to make retirement help available to millions of American workers. Financial Engines Advisors L.L.C. is a subsidiary of Financial Engines, Inc. (NASDAQ: FNGN).
For more information, please visit www.financialengines.com.
The statements in this release are not guarantees of future performance or plans. Please see our SEC filings for more detailed discussions of the risks that could impact our future operating results and financial condition. We undertake no obligation to update the statements in this release to reflect events, circumstances or changes that might arise after the issuance of this release.
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SOURCE: Financial Engines