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Alight Solutions 401(k) Index: April 2022 Observations

Despite equity markets posting their worst month in over 2 years, 401(k) investors were not making reactionary trades.  There were no above-normal1 days in April.  However, net transfers in April were up slightly compared to March (.10% vs .09%) as investors moved money out of equities and into fixed income.
April observations:       

  • On average, 0.011% of 401(k) balances were traded daily.
  • 15 of 20 days favored fixed income funds.

The Alight Solutions 401(k) Index statistics for the month of April:

Index statistics


2022 YTD

Total transfers as percentage of starting balance



# Fixed days

15 (75%)

57 (70%)

# Equity days

5 (25%)

25 (30%)

# Above-normal days



Inflows and outflows during the month of April:

  • Trading inflows mainly went to stable value, specialty/sector and money market funds.
  • Outflows were primarily from target date, small U.S. equity and company stock funds.

Asset classes with most

trading inflows in April

Percentage of inflows

Index dollar value ($mil)

Stable value funds



Specialty/sector funds



Money market funds



Asset classes with most

trading outflows in April

Percentage of outflows

Index dollar value ($mil)

Target date funds2



Small U.S. equity funds



Company stock



April investment portfolios:

  • After reflecting market movements and trading activity, average asset allocation in equities decreased from 69.9% in March to 69.1% in April.
  • New contributions to equities decreased from 69.7% in March to 69.5% in April.

Asset classes with largest percentage of

total balance at the end of April

Percentage of balance

Index dollar value ($mil)

Target date funds2



Large U.S. equity funds



Stable value funds



Asset classes with most

contributions in April

Percentage of contributions

Index dollar value

Target date funds2



Large U.S. equity funds



International equity funds



Returns for common indices


2022 YTD

Bloomberg Barclays U.S. Aggregate Index



S&P 500 Index



Russell 2000 Index



MSCI All Country World ex-U.S. Index (net)



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.

2 Target date funds also include the amounts in target risk funds. The amount in the target risk funds is less than 10% of the total.

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Alight Solutions 401(k) Index™

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Alight Solutions 401(k) Index™: July 2021 Observations

July was another light month of trading in 401(k) plans, according to the Alight Solutions 401(k) Index TM. Net trading activity in July was 0.07% of balances, a slight increase from 0.06% in June, but well below the trailing five-year average of 0.21%.

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