401k Ratings Firm BrightScope Partners With Target Date Analytics to Unveil the BrightScope On Target Index
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SAN DIEGO, CA, Nov 02 (MARKET WIRE) --
BrightScope (www.brightscope.com), a 401k data and analytics firm, today
announced a strategic partnership with Target Date Analytics LLC
(www.ontargetindex.com), a consulting and research firm that designs
target date fund indexes. Together they announce the BrightScope On
Target Index, designed to assist 401k plan sponsors, advisors and
participants in measuring the performance and risk attributes of their
target date funds.
Many of the most respected investment managers, investment committees,
investment advisors, investment stewards, trust companies and record
keepers already rely on Target Date Analytics' target date research, data,
and indices. "We've worked with Target Date Analytics for several years
and been very impressed," said David Hand, CEO of Hand Benefits & Trust.
"BrightScope is a leading provider of 401k data and analytics and I'm
confident this new partnership will be beneficial for the industry."
The BrightScope On Target Index gives 401k market participants the ability
to see how accurately a target date fund lives up to its stated goals as
outlined in the prospectus. Unlike other target date indexes, the
BrightScope On Target Index considers actual participant behavior when
determining the appropriate asset allocation for participants approaching
retirement. Industry adoption of the BrightScope On Target Index will help
improve participant outcomes and ensure retirement income security.
"BrightScope has already created the industry standard 401k rating, so
we're uniquely positioned to standardize target date funds in a way that
both plan sponsors and participants can easily understand," said Mike
Alfred, CEO and co-founder of BrightScope. "The BrightScope On Target
Index will serve as a catalyst for change, throwing out the current
perception that target date funds have failed to meet their stated
objectives. The index provides plan sponsors, advisors, and participants
with an essential barometer for both performance and risk."
"The new BrightScope On Target Index taps into an untouched market. As it
stands now, the 401k industry doesn't have any pure, objective,
benchmarking firms that provide this data," said Joseph C. Nagengast,
principal of Target Date Analytics LLC. "BrightScope and Target Date
Analytics are each committed to improving participant outcomes and
retirement income security through increased industry transparency -- and
together we can do more than either of us can do alone."
BrightScope's On Target Index arrives at the ideal time for the average
American. A new survey released by Bankrate, the Web's leading aggregator
of financial information, shows a majority of Americans plan to work as
long as they can past retirement age. Specifically, 75 percent of the
respondents plan to work past the official retirement age, a third of whom
state their decision is based on financial constraints.
BrightScope has rated more than 16,500 401k plans, spanning more than 27
million workers and over $1.6 trillion in assets. The BrightScope Rating
covers small plans with assets of $50,000 through large plans with more
than $30 billion, and can be found at its public disclosure Web site:
www.BrightScope.com. The company is working to rate more than 30,000 plans
by the end of 2009.
About BrightScope
BrightScope is committed to helping America's workforce retire in dignity.
BrightScope is an independent data analytics firm that quantitatively
rates 401k plans and gives employers, employees, and brokers tools to
enhance plan performance and maximize retirement outlook. The BrightScope
Rating (TM) developed in partnership with leading independent 401k
fiduciaries, reviews more than 200 unique data inputs per plan and
calculates a single numerical score which defines 401k plan quality at
the company level. BrightScope-published ratings, rating definitions,
criteria and methodologies are available on the agency's public site,
www.brightscope.com.
About Target Date Analytics
The leading independent source of detailed information on target date
theory, design, and analysis, Target Date Analytics LLC (TDA) specializes
in target date indexes for reporting clarity and glide path licensing. TDA
created and maintains the BrightScope On Target Indexes (OTI). TDA is the
sub-advisor to the Hand Benefits & Trust SMART Funds(R), a series of
target date collective investment trusts, based on the OTI. Target Date
Analytics is the home of "Popping the Hood," a recurring and
comprehensive analysis of target date fund families. TDA also consults
plan sponsors, advisors, and fund companies on glide path design and
allocation, and assists with the creation of custom target date
solutions. For more information on TDA, visit www.ontargetindex.com.
Contact:
Korina Buhler
Atomic PR
415-402-0230
Email Contact
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