7 keys to 401(k) engagement

“We use jargon we don’t even know is jargon,” says Kristi Mitchem, senior managing director and head of global defined contribution for State Street Global Advisors. SSgA’s survey of plan participants revealed that a large number of people don’t understand words that are common in investing nomenclature. For example, words like “bond” and even “fund” were not well understood. “Think about how to talk in plain, simple English without a lot of terms that confuse participants,” she says. “We encourage plan sponsors to do a jargon audit on their communications and watch for terms that might be off-putting.” And if you do use jargon, include a glossary.
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