Many options within defined contribution plans can place a significant burden on employees. Dimensional Managed DC is the next-generation retirement solution for plan sponsors to make available to their participants—a customized, risk-managed solution that seeks to help participants afford an inflation-protected income stream for life when they retire.¹ Like a traditional defined benefit plan, Dimensional Managed DC does not require employees to select asset allocation strategies or individual investments; instead, it creates a custom investment strategy for each participant’s retirement account, based on his or her stated retirement income goals and retirement account information. Dimensional Managed DC is designed to work with or without the participant logging into the system.

Unlike target-date options, Dimensional Managed DC allows participants to further refine their investment solution based on a set of straightforward questions about their required retirement income, retirement age, and how much they are willing to save. An easy-to-use, web-based portal offers participants immediate feedback upfront and along the way. Plan sponsors are kept informed, as well, with access to a robust reporting tool that provides information on plan demographics, usage rates, and the overall effectiveness of the program.

---

1. Income from retirement payout (annuity) contract depends on the claims-paying ability and strength of the issuing insurance company.