The combination of a robust U.S. equity market and the proliferation of company-sponsored retirement plans helped push total assets in 401(k) pans over the $3 trillion threshold at close of last year, up 13% from 2009.
According to the
"Strong performance across all equity sectors, especially in the U.S. market over the second half of 2010, coupled with positive returns in the bond markets, helped push total retirement market assets over $16 trillion by year-end 2010," said Bob Wuelfing, president of
This spike in 401(k) contributions and asset values comes at a time when more and more Americans admit that
For 401(k) plan administrators, the focus now is less on shaving a few basis points off the fees firms and advisers demand for their services and instead on getting their employees
The SPARK report found that almost 70% of 401(k) participants had their account balances in stocks at the end of the year, including the equity portion of balanced, life cycle, risk-based asset allocation and target date funds.
Larry Barrett writes for Financial Planning.