Financial Engines
ALCOA ROLLS OUT FINANCIAL ENGINES' MANAGED ACCOUNT PROGRAM TO 42,000 EMPLOYEES
Managed Accounts and Investment Advice Powered by Financial Engines Meet Employee Demand for 401(k) Savings Plan Help
PALO ALTO, Calif. July 11, 2005 – Financial Engines, Inc. announced today that 42,000 Alcoa employees now have the Financial Engines Personal Asset Manager program available to them. Alcoa employees who would rather have a professional manage their 401(k) Savings Plan accounts for them can sign up for the Personal Asset Manager program by phone, mail or online.
After surveying Savings Plan participants in 2003, Alcoa found that 98 percent wanted more help investing for retirement and nine out of ten felt an outside advisor would be the most trusted source for this information. Alcoa hired Financial Engines to offer both managed accounts and online advice to its 401(k) Savings Plan participants who needed assistance in their retirement planning.
"We've heard from many Alcoa employees that it's hard making Savings Plan investment decisions," said Robert Kleckner, manager, Savings Plan Administration, Alcoa. "That's why Alcoa teamed with Financial Engines-we want to make sure our employees get the help they need to achieve a more secure retirement."
Alcoa began offering Financial Engines' Personal Online Advisor in October 2004 and the service has already been used by 18.6 percent of Alcoa participants. Personal Asset Manager complements the online service by appealing to the population of Alcoa employees who lack the time or expertise to take a hands-on approach to managing their Savings Plan accounts.
As part of the Personal Asset Manager enrollment campaign, each participant receives a Personal Evaluation of their Alcoa Savings Plan account, which analyzes their current investment strategy and highlights areas of concern related to savings, diversification and company stock. After receiving this evaluation, some employees may choose to enroll in the Personal Asset Manager program while others may elect to use the Personal Online Advisor for help with their planning.
Financial Engines handles all 401(k) Savings Plan portfolio transactions for Personal Asset Manager program members and reviews their accounts on a quarterly basis. All program members are kept informed with printed Progress Reports, and employees can speak to an Investment Adviser Representative if they have any questions.
"Choosing from a long list of funds can be overwhelming and intimidating, leading many employees to do nothing and hope for the best," said Jeff Maggioncalda, president and CEO of Financial Engines. "We're pleased to work with companies like Alcoa that are committed to giving employees the help they need to build more secure retirements."
About Financial Engines
Financial Engines is a new breed of investment advisor providing personalized investment advice and portfolio management to 401(k) participants. Founded by Nobel Prize-winning economist, William F. Sharpe, Financial Engines serves millions of employees at many of America's largest corporations. Patented advice technology and institutional-quality investment methodology allow Financial Engines to offer an array of advisory services to meet the needs of all investors. For more information, please visit www.financialengines.com.
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Financial Engines® is a registered trademark of Financial Engines. All other trademarks and service marks are the property of their respective owners. All advisory services are provided by Financial Engines Advisors LLC, a federally registered investment adviser.