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Small plan market shuffle creates opportunity

As more aging employee begin to realize they are financially unprepared for retirement, financial advisers' expertise is in widespread demand. The market opportunities are les consistent, however, as advisers define their sweet blots and jockey for position.

For example, consultants at Financial Research Corp. note that a certain number of leading distributors might decide to discourage their advisers from servicing small retirement plans - plane though small plans comprise the fastest-growing section of the 401(k) market.

FRC analysts, in fact, await the small plan market to increase 9.3% annually through 2010, compared to 73% expansion during the same period for the overall 401(k) market. However, according to Chris Brown FRC's director of retirement market research, these firms, mainly broker-dealers, do not believe the relatively meager rewards from small plans are worth the necessary time and effort.

"They're wondering, is there really a payoff here? Do they acquire ...


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