CHICAGO, Mar 26, 2003 Morningstar Associates, LLC, a registered investment adviser and wholly owned subsidiary of Morningstar, Inc., is now offering Morningstar Managed Retirement PortfoliosSM, customized investment portfolios for 401(k) and other defined contribution plan participants. Wachovia Retirement Services, with over 3,000 retirement plans representing more than 800,000 participants and pensioners, will be the first retirement plan provider to offer components of this new service when it launches its AdviceTrackSM product in April.
"Morningstar is interested in delivering services that will make a meaningful impact on the lives of investors. Through managed retirement portfolios, we can help millions of Americans who are struggling with their retirement plans," said John Rekenthaler, president of Morningstar Associates. "We're delighted to be working with Wachovia on its new AdviceTrack program, which emphasizes sound, practical steps of encouraging participants to save more, diversify properly, and form appropriate asset allocations."
Wachovia has selected Morningstar Associates to serve as its independent financial expert and provide participant advice within its new proprietary AdviceTrack program. This advice will be generated using asset allocation models that Morningstar Associates develops based on relevant participant-level data and specific funds selected by Wachovia. Each participant who enrolls in the AdviceTrack program can receive a specific investment strategy that is matched to his or her needs, and the strategy will be implemented by Wachovia. Morningstar Associates also provides periodic monitoring and rebalancing of the portfolios.
Morningstar Managed Retirement Portfolios are designed for plan participants who want professionals to make their investment decisions for them. The service is unique because it accounts for all relevant plan rules and fund restrictions; makes appropriate recommendations regarding existing positions in company stock; uses qualitative and quantitative analysis; and adjusts its fund recommendations if the participant provides information about outside assets, preferences for particular funds, or other personal data.
Morningstar Managed Retirement Portfolios are part of a comprehensive set of retirement plan services designed to meet the diverse needs of participants, sponsors, providers, and financial advisors.
About Morningstar, Inc. and Morningstar Associates, LLC
Morningstar, Inc. is a global investment research firm offering an extensive line of print, software, and Internet-based products and services for individuals, financial advisors, institutions and the media. The company is a trusted source of investment information and analysis for stocks, mutual funds, exchange-traded funds, closed-end funds and variable annuities. Investment advisory products and services are provided by Morningstar Associates, LLC, a registered investment adviser and wholly owned subsidiary of Morningstar, Inc.