Businesses need help choosing default 401(k) investments

Businesses need help choosing default 401(k) investments

Now that businesses are free to automatically enroll workers in 401(k) plans, a new area of financial services is emerging -- helping those businesses choose the default investments for their workers. And according to a new report from Putnam Investments, three areas are worth paying attention to when making such a choice: wealth accumulation, wealth preservation, and the risk that a sudden downturn could prompt an employee to opt out of the plan. 

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