This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Morningstar Introduces Next-Generation Defined Contribution Participant Advice And Managed Accounts Platform

CHICAGO, May 6, 2013 /PRNewswire/ -- Morningstar, Inc. (NASDAQ: MORN), a leading provider of independent investment research, has announced the next generation of Morningstar® Retirement ManagerSM, an advice and managed account service for defined contribution participants in the United States. Together, Morningstar's registered investment advisory subsidiaries are the largest providers of managed accounts, serving more than 800,000 participants.

"Planning for retirement is extremely complex. Multiple accounts, income streams, expenses, funding goals, and the unpredictability of the market can overwhelm even the most seasoned investors. Participants need a solution that's sophisticated enough to account for these variables while delivering an actionable, easy-to-understand plan," Brock Johnson, president of retirement solutions for Morningstar, said. "The newest version of Morningstar Retirement Manager brings together our latest institutional asset allocation methodologies, forecasting and fund selection techniques, design, and technology to help people better prepare for a successful retirement."

The new version of the service combines the best features of the original Retirement Manager with the Advice by Ibbotson methodology. Among the most significant enhancements is the addition of Income Secure, a program that provides individualized, tax-efficient retirement income drawdown advice. A Morningstar research paper, "Alpha, Beta, and Now...Gamma," shows that a participant's withdrawal strategy—how much to take from a retirement portfolio each year and from which account (IRA, 401(k), taxable, etc.)—can have the most significant effect on the amount of income an investor has in retirement. Retirement Manager evaluates all of a participant's holdings across both taxable and tax-deferred accounts and provides a participant with a specific, individualized drawdown plan that outlines how much a participant can pull from each account each year, considering taxes and minimum required distributions.

Retirement Manager also offers enhanced investment recommendations that reflect the latest liability-driven investment methodology. Liability-driven investing recognizes that investors in or nearing retirement face different risks than those in the accumulation phase. For example, two investors may have the same stock-bond split in their portfolios, but the investor closer to retirement has greater need for inflation, currency, and interest rate protection than someone further from retirement. Participants who use Retirement Manager will continue to get investment recommendations that are suited to their risk capacity, but now they will also be more sensitive to the unique risks associated with their life stage.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs