Storm-tossed stock markets and a cloudy economic outlook have 401(k) plan participants seeking safe harbors such as bond and stable value funds for their savings.

Hewitt Associates ' 401(k) Index, which tracks the daily transfer activity of 1.5 million plan participants, finds that fund transfers to fixed income investments dominated transfer activity 15 of the 23 days in August in which transfer activity took place. Stable value investments experienced a 57% increase in fund transfers the first four months of the year, Hewitt says.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.