Watson Wyatt: 401(k) outearns traditional plans

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US - 401(k) plans outearned professionally managed traditional pension plans in 1997 and 1998, reversing a seven-year trend according to an analysis by Watson Wyatt.

The median rate of return for 401(k) plans was 14.27% in 1998 versus 12.31% for DB plans. In 1997, the median return for 401(k)s was 17.32% versus 16.47% for DB plans. Two factors are likely at ...

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