September 21, 2005

Fidelity Investments EVP Tells How To Act Now, Save More, Invest Better

Steve Akin, executive vice president of Fidelity Investments, kicked off the 2005-2006 Charles Tandy Executive Speaker Series, September 20, 2005, with insights into better ways to invest for America's retirement challenge.

Citing the increasing interest of financial services on retirement, along with Social Security reform, pension issues and an aging population that will outlive previous generations, Akin pointed out that the responsibility for retirement income is shifting to include earned income and personal investments.

Akin said that while 50 million people are enrolled in DC, there are still millions more who don't take part, and of the $2 trillion invested, most defer too little.

"Many participants stay invested, but far too many cash out and risk losing."

His advice:
• Act Now: Auto-enrollment should be initiated in all existing plans
• Save More: Auto-increase should be initiated in all existing plans
• Invest Better: Default to Lifecycle or managed accounts should be initiated in all existing plans
• Stay Invested: Plan participants should be guided at termination to roll-over to Lifecycle funds, managed accounts or an appropriate level of annuitization.

The Charles Tandy Executive Speaker Series is held four times a year on the TCU campus, sponsored by the Neeley School of Business. Tickets are $20 and include a full breakfast. The Executive Speaker Series is a community outreach program designed to develop and disseminate leading-edge thought in order to improve the practice of business.

Future speakers are: Alan Lacy, Vice Chairman of Sears Holding Corp., November 4; Michelle Peluso, CEO of Travelocity, February 7; and Robert McCann, Executive Vice President of Merrill Lynch & Co. based in New York. 


Elaine Cole
Public Relations/Event Manager
Neeley School of Business