MassMutual Launches CustomChoice Strategies(SM) Powered by Morningstar(R) Associates
SPRINGFIELD, Mass., Aug. 6 /PRNewswire/ -- MassMutual's Retirement Services Division today announced the launch of CustomChoice Strategies(SM). This innovative tool allows employers and authorized advisors to make plan-specific investment options available to the participants in their retirement plans based on a target retirement date, investment objective, or a combination of the two, using a plan's existing investment lineup.
Plans can offer these custom strategies using asset allocation models developed by Morningstar Associates, LLC and delivered through a user-friendly, Web-based interface. Morningstar Associates is a registered investment advisor and wholly owned subsidiary of Morningstar, Inc. Plan sponsors can select options from the plan's investment lineup to meet Morningstar Associates' target asset allocations, or they can adjust those asset allocation targets within preset ranges to further align them with the demographics of the plan's participant base.
"MassMutual's CustomChoice Strategies also creates an opportunity for retirement plan advisors to provide additional value to plan sponsors and participants. If an advisor is assuming an investment fiduciary role, CustomChoice Strategies offers an easy-to-use solution that makes it easy to develop and implement unique investment strategies. Whether the plan uses target retirement date, risk-based models or a combination of the two, CustomChoice Strategies offers a custom solution that has many advantages over off-the-shelf alternatives," says Paul Steven Henry, vice president of product development for MassMutual's Retirement Services Division. "In all cases, CustomChoice Strategies builds upon the screening that has already been completed to create a plan's investment lineup, which can help simplify fiduciary oversight. Participants also benefit from easy-to-use investment options that can align well with their individual investment objectives."
Key features of MassMutual's CustomChoice Strategies include: -- Strategies reflect plan objectives and participant demographics -- CustomChoice Strategies can be based on: -- Target retirement dates in five- or 10-year increments, or -- Three, four or five lifestyle categories, or -- A blend of target retirement dates in 10-year increments, each with three lifestyle categories
-- Using options in the investment lineup to create the customized strategies can simplify fiduciary oversight
-- Customized model strategies are listed among the investment options available to participants in enrollment materials and on the Web site
-- Morningstar will review the asset allocation targets annually, and the sponsor or advisor will be advised to review and re-authorize the custom strategies
"CustomChoice Strategies provides a customized alternative to typical, fund-of-fund target retirement date and lifestyle solutions," says Hugh O'Toole, senior vice president and head of MassMutual Retirement Services Division's national sales and distribution organization. "MassMutual is the first provider to deliver a product that combines a simple, Web-based asset allocation modeling tool powered by Morningstar Associates with this level of investment flexibility. We are excited to offer this innovative way for advisors acting as plan investment fiduciaries to leverage the investment due diligence they are already providing. CustomChoice Strategies is a meaningful way for them to add value to their sponsor and participant relationships," he adds.
"One of the great features of MassMutual's CustomChoice Strategies solution is that, in a few easy steps, sponsors, or their advisors, can essentially design a series of model strategies that are specific to the retirement plan. It's a natural evolution of the all-in-one investment offerings that have been popular," adds Brock Johnson, vice president of Morningstar Associates.
Plan sponsors who are interested in more information about MassMutual's CustomChoice Strategies should contact their retirement plan advisor. Retirement plan advisors interested in additional information or a demonstration of CustomChoice Strategies should contact their MassMutual sales representative or call MassMutual at 1-888-626-4911, www.massmutual.com/retire.
About MassMutual
MassMutual's Retirement Services Division has been serving retirement plans for more than 60 years. It offers a full range of products and services for corporate, union, nonprofit and governmental employers' defined benefit, defined contribution and nonqualified deferred compensation plans. It serves approximately one million participants.
MassMutual Financial Group is a marketing name for Massachusetts Mutual Life Insurance Company (MassMutual) (of which Retirement Services is a division) and its affiliated companies and sales representatives. MassMutual and its subsidiaries have more than $500 billion in assets under management at year-end 2007. Assets under management include assets and certain external investment funds managed by MassMutual's subsidiaries. Founded in 1851, MassMutual is a mutually owned financial protection, accumulation and income management company headquartered in Springfield, Mass. MassMutual's major affiliates include: OppenheimerFunds, Inc.; Babson Capital Management LLC; Baring Asset Management Limited; Cornerstone Real Estate Advisers LLC; MML Investors Services, Inc., member FINRA and SIPC (www.finra.org and www.sipc.org); MassMutual International LLC; and The MassMutual Trust Company, FSB. MassMutual is on the Internet at www.massmutual.com.
About Morningstar, Inc. and Morningstar Associates, LLC.
Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The company offers an extensive line of Internet, software, and print-based products and services for individuals, financial advisors, and institutions. Morningstar provides data on more than 270,000 investment offerings, including stocks, mutual funds, and similar vehicles. The company has operations in 18 countries and minority ownership positions in companies based in three other countries. For more information about Morningstar, visit www.morningstar.com.
Morningstar Associates, LLC, is a registered investment advisor and wholly owned subsidiary of Morningstar, Inc. As of March 31, 2008, Morningstar Associates' retirement services were available to more than 8 million people through approximately 76,000 retirement plan sponsors and 22 plan providers. Morningstar Associates, LLC provides asset allocation targets for the CustomChoice Strategies, but does not provide investment advice to advisors, plan sponsors or plans with respect to use of the CustomChoice Strategies product. Morningstar Associates is not affiliated with MassMutual.
(C)2008 Massachusetts Mutual Life Insurance Company (MassMutual) and affiliates, Springfield, MA 01111-0001. All rights reserved. Securities offered through registered representatives of MML Investors Services, Inc., a MassMutual subsidiary. MML Investors Services, Inc., member FINRA and SIPC (www.finra.org and www.sipc.org).
MassMutual Contact: Lisa Reilly 413-744-0589 [email protected] Morningstar Contact: Alexa Auerbach 312-696-6481 [email protected]
SOURCE MassMutual Retirement Services
CONTACT: Lisa Reilly of MassMutual, +1-413-744-0589, [email protected]; or Alexa Auerbach of Morningstar, +1-312-696-6481 [email protected]
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