Voya Launches Dual QDIA for Retirement Plans

Voya Financial has launched a new dual Qualified Default Investment Alternative (QDIA) for retirement plans, which is now available through its managed account programs.

The dual QDIA provides “more-personalized retirement investments and broader sophistication for asset allocation through a default option that evolves as participants age and as both their needs and circumstances evolve,” said the firm.

Plan participants are assigned a default investment that begins with a target-date fund (TDF), which could be a single fund, a TDF series, or a combination of asset allocation funds, according to Voya.

Around the age of 50, individuals are automatically transferred to a Voya-managed account program, which includes the firm’s Advisor Managed Account solutions and other proprietary offers. The approach is likely to benefit both plan sponsors and participants.

“At Voya, we find that 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, SVP, retail wealth management and advisory solutions at Voya Financial. “Helping our clients gain access to managed accounts can help with these needs.”

Employers can take advantage of the QDIA safe harbor regulations, which apply to managed accounts, while providing employees with tailored retirement planning through the managed account solution.

The registered investment advisor is Voya Retirement Advisors, and Erisa receives fiduciary support from the dual QDIA, according to the firm.