Leveraging technology & personalized communication to create powerful response

Synapses Introduces Market Recovery Education Product

CHARLOTTE, N.C. – May 18, 2009 - Synapses Inc., a leading provider of personalized 401(k) education, products and services, today announced the launch of a new “Market Recovery and Your 401(k)” participant education tool that provides 401(k) Providers and financial advisors with an efficient way to communicate with large numbers of people about how to prepare their 401(k) investment mix for an eventual market recovery. Available today, the service stands as a powerful accompaniment to personalized 401(k) education tools and other materials currently being provided to leading 401(k) providers and financial advisors.

More Than a Personalized Market Volatility Brochure

The “Market Recovery and Your 401(k)” report provides and easy-to-understand graphic illustration of the historic US stock market volatility, and goes on to offer a personalized illustration of how the historical ups and downs of the market would have impacted the participant’s current investment mix and the investment mix of their future contributions. Comparisons are drawn between the participant’s current investment elections, and a managed investment mix that starts aggressive early in one’s career and gradually becomes more conservative as retirement approaches.

Participants are categorized into one of five major categories, based on how their age, current asset mix, and future investment elections play out under multiple historical “back testing” scenarios. Depending on the outcome of their personal analysis, each participant is shown the most impactful information, such as:

• The downside risk of being aggressive late in one’s career
• The missed opportunity of being conservative when still young
• The value of being aggressive early, and gradually becoming more conservative as retirement approaches
• The value of saving more before a recovery begins

What Participants Need to Know

“We’ve talked to a lot of financial advisors and 401(k) education consultants. What we’ve learned is that many 401(k) participants struggle to understand how the recent turbulence in the market, and the potential market recovery, will affect them personally.” said Jim Saunders, President of Synapses. “They learn the buzzwords from statement stuffers, brochures, event the evening news. But they lack a working knowledge of asset allocation basics and a meaningful context in which to understand their particular situation. This new document provides that meaningful context for the participant by projecting how the 401(k) participant’s current balance and future mix of contributions might be impacted by lots of different real historical market scenarios.”

New Application of a Proven Technique

The analysis is based on techniques traditionally used to help educate other audiences, such as high net worth families, about how the macro environment impacts their unique financial position. “What we’ve created is mass production of some very personalized historical best-case / worst-case analyses, and presented the personalized outcomes in easily understandable pictures and words. Each recipient gets a message tailored to their specific situation,” says Saunders, “and often times an important action to be taken jumps right off the page.”

The “Market Recovery and Your 401(k)” product is being tested with several beta customers. For more information, contact info@synapses.com or call Jim Saunders directly at 704.321.4738.

About Synapses Synapses Inc. is a leading innovator in personalized 401(k) education, products and services. Providing comprehensive process analysis, custom software design and implementation, as well as personalized education product development and delivery, Synapses has produced hundreds of thousands of individual personalized 401(k) education reports. By offering 401(k) providers, sponsors and financial advisors customized products, Synapses uses a proprietary product delivery infrastructure to provide astoundingly effective education that offers unique scalability to meet the demands of the retirement services market. Founded in 2005, Synapses is headquartered in Charlotte, North Carolina. For more information, please call 704-321-4747 or visit the Synapses Web site at www.synapses.com.

©2009 Synapses Inc. All rights reserved.


Leveraging technology & personalized communication to create powerful response
401k and retirement industry news

Contact Information Our Email

© 2005-2018 Synapses Inc. All Rights Reserved