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Retirement Planning > Saving for Retirement > 401(k) Plans

RBC C&C Adds Vestwell as Exclusive 401(k) Platform Provider

By John Manganaro

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RBC Clearing & Custody announced Wednesday morning that it is making Vestwell’s 401(k) and 403(b) plan solutions available to its network of financial advisor clients.

The new integration is aimed at helping advisors working with RBC C&C to deliver an “affordable, modern and digital workplace savings solution” to business owners and their employees, the companies said.

According to the firms, the integration will enable advisors to efficiently scale their retirement plan practices and customize their offerings while giving clients the experience they expect.

In a statement announcing the move, Brett Thorne, president of RBC Clearing & Custody, said Vestwell’s technology will help minimize the administrative workload associated with serving defined contribution retirement plans. The partnership will also provide innovative tools needed to maximize participant engagement.

“After the passing of [the Secure 2.0 Act], we’ve seen 401(k) solutions increasingly become a priority for small business owners across the United States,” Thorne said. “This demand, with the right platform in place, creates a natural pathway for our advisor clients to rapidly expand their wealth practices.”

Thorne says RBC is “thrilled” to exclusively use Vestwell as its 401(k) platform provider, noting that the services will be offered in a white-labeled context, meaning advisors can continue to utilize their own branding while serving retirement plan clients.

“They are an innovative firm that shares our values of prioritizing the advisor experience,” he suggest. “Our advisor clients are now able to customize their offerings, expand into the 401(k) segment, and meet the demand from small businesses that need their support today.”

In a recent interview with ThinkAdvisor marking Vestwell’s collaboration with the Carson Group, Vestwell CEO Aaron Schumm said the worlds of wealth management and workplace retirement plans are converging, “such that wealth advisors who aren’t taking steps to support their business owner clients could struggle to hit growth targets and keep existing clients happy.”

“The regulatory trade winds have built up some significant momentum behind the small-business retirement plan space, and the engagement we are seeing across the advisor community has grown substantially,” Schumm said. “Simply put, more advisors are asking their home offices and outside providers to support their desire to work with small-business owners in this way.”

In addition to partnering with more advisory platforms, Vestwell is also rapidly expanding its reach in the state-based retirement plan market. The firm’s technology currently backs state-based savings programs in Oregon, Maryland, Connecticut and elsewhere.

(Image: Shutterstock)

John Manganaro

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