Further Understanding Defined Contribution In its 15th year, the PIMCO US Defined Contribution Consulting Study seeks to help consultants, advisors and plan sponsors understand the breadth of views and consulting services available within the defined contribution (DC) marketplace. business 47 Consulting and Advisory Firms people 33,000 Clients Served work DC Assets in Excess of $6.7 Trillion The Report Our 2021 study captures data, trends and opinions from 47 consulting and advisory firms who serve over 33,000 clients with aggregate DC assets in excess of $6.7 trillion. Consultants’ Top Strategic DC Priorities Institutional Consultants state expanding their presence up-market is the top priority while aggregators prioritize investment solutions, new services and M&A. Institutional Consultant (n=29)1 Aggregator (n=11)2 Merge or acquire other firm(s) 10% 45% Expand presence up-market (>$250MM) 66% 36% Expand custom investment solutions capability 41% 45% Expand presence down-market (<$250MM) 34% 27% Expand coverage to new Pooled Employer Plans 17% 18% New service offering 10% 45% Question to Consultants: What will your firm's top three strategic DC priorities be in 2021? Select up to 3. 1. Institutional Consultant – traditional large plan consultant firms. 2. Aggregator – Independent DC focused advisory firms with shared resources. Top Client Priorities Institutional Consultants state reviewing Target Date Funds (TDFs) and fees are top client priorities, and their "leading-edge" clients prioritize retirement income evaluations and setting up the retirement tier Top 5 (n=28) Leading Edge (n=27) Review TDFs 68% 4% Evaluate investment fees 64% Evaluate administration fees 61% Evaluate retirement income 57% 41% Review managed accounts 29% 7% Improve participant retirement education 25% 7% Set up a retirement income tier 11% 19% Question to Consultants: What will your firm's top three strategic DC priorities be in 2021? Select up to 3. Most Important Factors to Plan Sponsors Consultants state keeping costs low and meeting participant retirement goals are the most plan important factors to plan sponsors. Top 3 Rank 1 Keep costs low (plan and investments) 87% 41% Meet participant retirement goals 64% 36% Manage litigation risk 49% 10% Attract/retain workforce talent 26% 10% Ensure the plan meets the needs of both active employees and retirees 23% 3% Question to Consultants: As plan sponsors consider their DC plan, which of the following factors are the most important? Rank the top 3 factors. (n=39). Key Findings Download PIMCO’s DC Consulting Study key findings report for the latest trends and supporting data.