Nationwide expands relationship with AllianceBernstein to offer in-plan income guarantee to its large retirement plan clients

Columbus, OH – Nationwide and leading global investment and research firm AllianceBernstein L.P. ("AB") announced that they have expanded their partnership to offer AB’s Lifetime Income Strategy (LIS) to Nationwide’s large retirement plan clients. LIS combines AB’s world-class research in glide path design with a flexible guaranteed income option to offer plan participants control of their account, full access to their money and income certainty in retirement. This solution is customizable for retirement plans in the mega plan market and is the latest offering in Nationwide’s suite of in-plan guarantees that meet a range of plan sponsor and participant needs.

LIS includes an optional income feature that will systematically transition a participant’s retirement savings to a guaranteed lifetime income program starting at age 50. This allows the participant to build up a lifetime income benefit that is protected, even in down markets.

Nationwide began its partnership with AB in 2012 when AB launched its Lifetime Income Strategy to the marketplace, the first-of-its-kind and now largest multi-insurer default solution, with Nationwide as one of the insurers. LIS now has $6.2 billion in assets under management (as of May 31, 2021) and offers lifetime income to nearly 300,000 plan participants. For almost a decade, AB has continued to enhance LIS, incorporating more customization and flexibility for individual participants to tailor it to their unique circumstances.

“The expansion of Lifetime Income Strategy is an extension of an already highly successful relationship Nationwide has with AB and will serve as an important addition to our suite of in-plan guarantees designed to address America’s growing retirement income needs across all plan types and sizes,” said Eric Stevenson, president of Nationwide Retirement Solutions. “At Nationwide, we record keep and service a large number of retirement plans for major employers.

This solution will be a strong fit for those types of plans that are looking to provide in-plan income options to their participants.”

Stevenson added the passing of the Setting Every Community up for Retirement Enhancement Act (SECURE) Act of 2019 created opportunities to provide more flexibility and access to lifetime income options within defined contribution retirement plans.

“In addition to the legislative change, research shows consumers’ need for lifetime income is stronger than ever,” he said.

“AB is committed to delivering effective lifetime income solutions to meet the evolving needs of both plan sponsors and participants,” said Jennifer DeLong, Head of Defined Contribution at AB. “We’re delighted to expand our long-standing relationship with Nationwide to offer the Lifetime Income Strategy to their recordkeeping clients and are looking forward to partnering with them to help plan participants be confident about retiring, on their own terms.”