Financial Wellness: One Size Doesn’t Fit All

 

Financial wellness programs may not be the right fit for some organizations. There may be a moral imperative that drives commitment for some, while others require a business imperative to justify the investment. Regardless of the rationale, a logical starting point would be for an organization to survey its employees and assess the need.

As employers learn more about financial wellness, some will deem these programs a good fit for their organizations, while others will not see the need to establish one or consider it a top priority. For those who see value in financial wellness programs, some may be drawn to them as a moral imperative, while others believe they’re a worthy business investment.

Q2 Market Recap: Signal-to-Noise Ratio

The signal-to-noise ratio is an electrical engineering term used to express the clarity of audio. Signal-to-noise has a financial application as well. Currently, investors need to separate the signal from the noise to understand why the stock market continues its bull run despite disturbing headlines on the domestic and global fronts.

The Q2 Market Recap identifies the signals that are driving the market higher and therefore merit investors’ attention. We define a signal as information that is used by successful investors for valuing securities and making investment decisions (buy, sell, or hold). These signals are always relevant for investors making retirement savings decisions. We define noise as negative information that falsely appears relevant to investment decisions. Noise adds to market volatility, but ultimately fails to negatively impact the signals.

Read the Q2 Market Recap to learn more. If you have any questions, or would like to begin talking to a retirement plan advisor, please get in touch by calling (855) 882-9177 or e-mail us at sbs@hanys.org.

Financial Wellness: Understanding Financial Wellness Programs

The extent to which employers understand financial wellness begins to come into focus when assessing their responses to some basic questions. But with so many organizations struggling to understand what constitutes financial wellness, it’s clear that they need more information to assess the need for such a program.

Nearly 60% of the SBS survey respondents said their organization offers a financial wellness program, or plans to in 2018 or beyond. The remainder of those who were polled said their organization does not have such a program in place, nor do they plan to offer one. However, it’s worth noting that nearly 60% of respondents who do not have a financial wellness program believe their employees would be receptive to such a program.

Doing Good While Doing Well

Plan fiduciaries are seeing increased interest in social, or impact, investing as an option in their plan offerings. We have witnessed the evolution of socially responsible investing (SRI) from being just a consideration of avoiding companies that profit from “sin” (alcohol, tobacco, gambling, firearms, etc.) to a holistic focus on environmental, social, and governance (ESG) factors as integral to an investment strategy.

To be good stewards of capital, advanced knowledge of the benefits and significance of sustainability in investing―aligning with values―is essential. It is especially important to the millennial generation, and is consistent with the importance many institutions place on social responsibility as part of their greater mission.

Survey Report: “Assessing the Merits and Challenges of Financial Wellness"

In Assessing the Merits and Challenges of Financial Wellness, SBS evaluates whether financial wellness programs are a wise choice and welcome addition to the traditional employee benefits package.

Financial wellness is an increasingly popular topic, but there is no consensus about the value of financial wellness programs in the workplace. While clear advantages and perceived value have been identified, several obstacles remain.

SBS surveyed employers and three key themes emerged from the research:

1. There is a general lack of understanding about what financial wellness programs deliver to both employers and employees. 
2. Financial wellness programs may not be the right fit for some organizations. 
3. There’s no easy way to calculate a return on investment from financial wellness programs. 

To read more about the three key themes that emerged from the financial wellness research, download Assessing the Merits and Challenges of Financial Wellness. To begin talking to a retirement plan advisor, please get in touch by email or by calling (855) 882-9177.

James Kelley, President, Strategic Benefit Services, Joins the Retirement Advisor Council

Strategic Benefit Services (SBS) is pleased to announce the appointment of James J. Kelley, President, to the Retirement Advisor Council, effective January 1, 2018.

The Retirement Advisor Council is a national organization that advocates for successful qualified plan and participant retirement outcomes through the collaborative efforts of experienced, qualified retirement plan advisors, investment managers, and defined contribution plan service providers. To advance its mission, the Council undertakes initiatives in the areas of research, public relations and promotion, public education, regulatory positions, and practice management. The Council accomplishes this mission by:

• identifying duties, responsibilities, and attributes of the professional retirement plan advisor;
• sharing professional standards with plan sponsors who are responsible for the success of their plans; 
• providing collective thought capital to decision makers, product providers, legislators, and the public;
• giving voice to the retirement plan advisor community; and
• offering tools to evaluate advisors to ensure the quality of services provided.

Strategic Benefit Services Adds New Leadership to Retirement and Employee Benefits Portfolios

Strategic Benefit Services (SBS), an industry leader that has provided for more than 45 years trusted advisory services, retirement plan offerings, and best-in-class employee benefits products, recently hired new executives to expand its employee benefits portfolios.

“SBS is building our team with uniquely talented individuals who bring years of industry experience,” said James J. Kelley, SBS President. “SBS builds real relationships with our clients by investing in a team of professionals who use their expertise to bring successful outcomes.”

Avon M. Scherff joined SBS as the new Director of Employee Benefit Services. Laura A. Sausville joined SBS as a Sales Account Executive responsible for new business development of group employee benefits.