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26%: Total assets in managed investments in 2013

Diversification is still popular—just ask the rising number of 401(k) plan participants who allocate money to managed investments such as target date funds, according to new analysis from Wells Fargo. The number of workers opting to use managed accounts climbed 4.2 percentage points in the last two years. New hires are the biggest users, while longer-term employees use the accounts least. This could be a result of the tendency to use target date funds as the default investment option.

Advisors can help plan sponsors wondering how to increase enrollment by explaining how including target date funds can be an option to help increase participation rates.

Source: Wells Fargo Announcement
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