Investment Product and Service Launches

Voya Officially Launches Dual QDIA to Provide Greater Personalization

Voya Financial Inc. launched a dual qualified default investment alternative product on Thursday, seeking to win market share from rivals and gain defined contribution plan assets to the firm’s managed accounts, according to a press release.

Voya’s QDIA places participants into a default investment starting as a target-date fund, transitioning automatically as they age—generally around age 50, though with optionality for the employer—to any of the proprietary managed accounts supported by Voya.   

“Individuals nearing retirement are in need of a more holistic approach that not only supports their unique retirement goals and more-complex investment needs but also ensures that they are prepared to generate a sustainable retirement income stream,” said Andre Robinson, Voya’s senior vice president of retail wealth management and advisory solutions, in a statement “We are seeing growing interest from retirement plan participants—with total assets in Voya’s managed account solutions up 28% in 2023, compared to the year prior.”

Managed accounts are professionally managed investment services, using a plan’s core investment menu.

Voya’s dual QDIA seeks to offer pre-retirees individual investment advice; retirement income planning; and payout strategies and tactics aimed to personalize asset allocation and investments to the individual’s specific financial situation.

The dual QDIA is now available across Voya’s managed account programs to retirement plan sponsors and retirement plan advisers within Voya-administered retirement plans and will be available to intermediary clients to support their adviser managed account programs.  

Voya did not disclose fees for the product.

MassMutual Debuts First Sub-Advised Muni Bond Mutual Funds

MassMutual Investments announced on February 5 the introduction of three new municipal bond funds to the MassMutual Funds product mix and selected Clinton Investment Management LLC as the sub-adviser.

The funds will be managed consistent with CIM’s municipal short-duration (limited term), market-duration and credit-opportunities strategies, according to the announcement.

The funds are:

• MassMutual Clinton Limited Term Municipal Fund;
• MassMutual Clinton Municipal Fund; and
• MassMutual Clinton Municipal Credit Opportunities Fund.

The funds were launched in three share classes, and varying expense ratios apply to each, according to the fund’s prospectuses.

“These launches represent an important milestone and reflect continued consistency in our efforts to expand and grow our MassMutual Investments platform in the wealth distribution channel,” said Doug Steele, MassMutual’s head of product management, in a statement. “These are the first funds that we are introducing in the municipal category, with a new-to-MassMutual sub-adviser.”

The new funds are the first sub-adviser selections by MassMutual’s head of manager research, Wale Adedokun, who joined the company in 2022.

Clinton Investment Management is a municipal bond manager specializing in actively managed strategies and is based in Stamford, Connecticut.

SEI Attracts European Asset Manager With CIT Lineup

SEI Trust Co. announced on February 6 it will serve as trustee for four collective investment trusts established by Pictet Asset Management in the U.S. institutional retirement market, according to a Tuesday press release.

The four CITs launched by Pictet Asset Management include:

• Pictet Clean Energy Transition CIT;
• Pictet EM Blend CIT;
• Pictet EM Local Currency Debt CIT; and
• Pictet EM Hard Currency Debt CIT.

“Asset managers are enhancing distribution by launching multiple share classes in various asset classes and investment strategies,” said John Alshefski, SEI Trust’s senior vice president and managing director of its traditional investment managers business, in a statement. “Our established turnkey operational platform and experienced, professional team of experts enable global investment managers, retirement plans, consultants, and advisers an efficient way to gain access to SEI’s extensive CIT lineup.”

Managing $237 billion in investment strategies globally, Pictet is one of the largest asset managers in Europe, according to the announcement.

Standard Insurance Company Bolsters Stable Value Products

The Standard Insurance Co. added to the proprietary APEX fund series with the new APEX Stable Value Fund, available to new retirement plan recordkeeping clients in the company’s platform, the firm announced Thursday.

The fund offers a guaranteed crediting rate that denotes the corporate and treasury rate environment, backed by the financial stability of the Standard; it is currently at 4.5% from January 1 through June 30, and will reset semi-annually.

“The APEX Stable Asset Fund allows us to extend this competitive offering to more retirement plan clients including those considering The Standard recordkeeping platform,” said Jason Burlie, the Standard’s vice president of retirement plan sales, in a statement.

The fund is available to defined contribution plans, including 401(k)s and 403(b)s.