BrightScope Hits a Major Milestone

BrightScope recently released new ratings for over 10,000 plans, and updated ratings for thousands of previously-rated plans. In so doing, we hit a major milestone:

We now have over 30,000 plans rated.

Our rating and analytics become more valuable to our clients and partners when there are more plans included in our system. Due to this fact, we are proud to announce that before the end of 2009 we passed 30,000 plans rated (for those keeping score at home this is what we said we would do in July of last year).  This means that over 50% of 401k participants who visit BrightScope.com will find that their plan is already rated.  For plan sponsors and advisors it means that our plan management and benchmarking tools contain superior comparison data to any other benchmarking service.

Growth in Plans with BrightScope Ratingsbrightscope-current-plan-ratings1

We Recently Updated Data on Thousands of Plans.

Many plans saw major changes to their ratings as they updated data with us directly.  Many other plans have seen their ratings change as we have updated with fresher data from more recent government filings.  These changes reflect updated filings and updated return histories. As of right now all of our investment analysis is up-to-date as of 9/30/2009.  If you saw a large change in your plan’s rating and would like to learn more please do not hesitate to contact us at Info@BrightScope.com .

We have a Broader Distribution of Plans Rated.

Whether you are a 25 person plan with $500,000 of plan assets or a 100,000 person firm with $5 billion in assets, we have robust comparison data through which you can compare and benchmark your plan’s performance.  Our custom peer group capabilities allow you to see exactly who you are being compared against and ensure that the comparisons are meaningful and accurate.  Below you will see the impact of our expanded coverage of micro, small and mid-sized plans:

brightscope-rated-plans6

Our Fee Benchmarking Remains Unparalleled in the Industry

Our ability to benchmark plan fees is superior to any other benchmarking service.  We break out revenue sharing payments – 12b-1, sub-ta, shareholder servicing – to ensure that you can benchmark your investment and administrative fees independently.  We include hard to quantify fund trading costs – brokerage commissions, spread costs, market impact costs – so that you understand the true costs of fund management.  And because we have over 30,000 plans rated you can truly see how your plan stacks up to others and the easiest ways for you to lower your fees if you so choose.

Below is a graph that shows plan fees on the vertical axis and net plan assets (logarithmic) on the horizontal axis.  When you look at this graph below, two questions should come to mind:  Where am I on this chart?  Should I be making any changes to ensure my fees are reasonable?

net-assets-and-tpc-chart

Substantial Improvements to our Investment Menu Quality Component Rating.

We continue to refine our investment menu analytics and research. We are proud to announce that our recent initiative to improve asset coverage through new data agreements with collective trust fund and separate account providers has been a resounding success. We have also integrated new investment return data into our algorithms and new analytics into our tools that will continue to make the Investment Menu benchmarking portion of our analytics more useful for advisors and plan sponsors. We will be releasing a research report in the first quarter that will highlight the findings of our Investment Menu research. If you are an investment manager who wants to ensure your funds are accurately displayed in our system do not hesitate to contact us directly, Data@BrightScope.com .

Learn More

Are you an Advisor interested in Advisor Central?  Contact us at AdvisorCentral@BrightScope.com .

Are you a Plan Sponsor looking to benchmark your plan?  Contact us at Dashboard@BrightScope.com .

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