Practice Structure Revenue and Fees Does Your Practice Use a Defined Contribution Aggregator for Support? 2019 2020 2020 l Yes l No 47% 51% 53% 49% 2019 How Fees Are Disclosed to Plan Sponsor Clients 2019 Contract Annual review ERISA* 408(b)(2) disclosure statement Fee disclosure statement Most Common Defined Contribution Aggregators 2019 Global Retirement Partners (GRP) Financial OneDigital Pensionmark Financial Group Retirement Plan Advisory Group NFP Hub International CAPTRUST Cetera SageView Advisory Group Other providers Do You Have a Written Business Plan That Governs Your Practice? 2019 l Yes l No 2020 82% 84% 18% 16% Do You Provide Individual Advice or Wealth Services to Plan Participants? 2019 2020 l Yes l No 80% 74% 20% 26% Do You Offer Health Savings Account (HSA) Consulting Services? 2019 2020 l Yes 36% 28% 2019 l No, but may in future 47% 47% l No 17% 25% l Yes l No 2019 2019 2020 Distribution of Clients, by Fee Model 2020 67% 10% 7% l Asset-based l Fixed, project-based l Fixed, per-participant l Blend - Asset-based and fixed 4% l Other 12% Whether Compensation Varies Based On Products or Services Offered 2020 2019 2020 42% 43% 58% 57% 2019 2020 2020 - Form ADV Requests for proposals 2020 21% 29% 14% 11% 10% 8% 4% 9% 7% 4% 3% 3% 1% - 4% - 4% 19% 21% 2020 Adviser salary Broker/dealer services Staff salaries General expenses Travel expenses Marketing expenses Tools and services Compliance expenses All other expenses *Employee Retirement Income Security Act Average Allocation of Revenue, by Expense 2019 2020 37% 36% 14% 16% 14% 15% 10% 10% 5% 4% 4% 3% 4% 4% 5% 2% 10% 7% 2020 91% 89% 82% 82% 67% 69% 67% 68% 52% 53% 52% 47% planadviser.com November-December 2020 | 21http://www.planadviser.com