February Brought Low 401(k) Trading

Trading activity was relatively light among DC plan investors during February, according to data provided by Aon Hewitt.

An average of 0.016% of 401(k) account balances traded per day during the month of February, marking the lowest level of trading measure so far this year, according to the Aon Hewitt 401(k) Index.

Aon Hewitt also found that the percentage of account balances dedicated to equities increased to 66.4% at the end of February, up from 65.9% at the end of January. When investors made new contributions, equities were favored, with 66.7% of contributions going to equities, up from 66.1% in January.

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Asset classes with the most trading inflows were large U.S. equities (39%), international funds (19%), and target-date funds (16%). Asset classes with the most trading outflows in February included stable value (40%), company stock (33%), and bond funds (12%).

For more information, visit Aon.com.

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