Retirement Consultants Pivot From AI Testing to Implementation

The sixth annual Defined Contribution Consultant Study, which surveyed firms overseeing $10.3 trillion in assets, reveals that the phase of AI evaluation has collapsed. Only 14% of firms now describe their AI involvement as exploratory, a sharp decline from 44% in 2025. Most firms currently deploy these tools to streamline client outreach and operational efficiency, though they remain cautious about applying automation to fiduciary-heavy tasks like plan design or benchmarking.

Investment strategies are evolving in parallel. Consultants are increasingly favoring private credit and equity for defined contribution plans, typically channeled through target-date vehicles. While cryptocurrencies remain largely relegated to self-directed brokerage windows, there is a clear push for more holistic retirement support. Firms are showing greater interest in dynamic qualified default investment alternatives (QDIAs) that transition participants from standard target-date funds to personalized managed accounts as they approach retirement, a move intended to improve retention and financial outcomes.