Q1 2021 observations:
- Total transfers as a percent of balances in Q1 2021 were 0.46%—the lowest quarterly level since Q3 2018. Last year, as stocks tumbled in Q1, 1.59% of balances were traded.
- Seventy percent of the trading days saw net trading money flowing from fixed income funds to equities.
The Alight Solutions 401(k) Index statistics for Q1 2021 and year to date:
|
Index statistics
|
Q1 2021
|
2021 YTD
|
|
Total transfers as percentage of starting balance
|
0.46%
|
0.46%
|
|
# Fixed days
|
18 (30%)
|
18 (30%)
|
|
# Equity days
|
43 (70%)
|
43 (70%)
|
|
# Above-normal days
|
1
|
1
|
|
Asset classes with most trading inflows in Q1 2021
|
Percentage of Inflows
|
Index dollar value ($mil)
|
|
Small U.S. equities
|
29%
|
$321
|
|
Mid U.S. equities
|
18%
|
$198
|
|
Target date funds1
|
16%
|
$181
|
|
Asset classes with most trading outflows in Q1 2021
|
Percentage of Outflows
|
Index dollar value ($mil)
|
|
Bond
|
31%
|
$343
|
|
Large U.S. Equities
|
30%
|
$336
|
|
Company stock
|
28%
|
$307
|
Q1 2021 Market returns:
|
Returns for common indices
|
March
|
2021 YTD
|
|
Bloomberg Barclays U.S. Aggregate Index
|
-1.25%
|
-3.37%
|
|
S&P 500 Index
|
4.38%
|
6.17%
|
|
Russell 2000 Index
|
1.00%
|
12.70%
|
|
MSCI All Country World ex-U.S. Index (net)
|
1.26%
|
3.49%
|
1 A “normal” level of relative transfer activity is when the net daily movement of participants’ balances, as a percent of total 401(k) balances within the Alight Solutions 401(k) Index™ equals between 0.3 times and 1.5 times the average daily net activity of the preceding 12 months. A “high” relative transfer activity day is when the net daily movement exceeds two times the average daily net activity. A “moderate” relative transfer activity day is when the net daily movement is between 1.5 and 2 times the average daily net activity of the preceding 12 months.
1Target date funds also include the amounts in target risk funds. The amount in the target risk funds is less than 10% of the total.