Investing platform Public announced a new partnership with 401(k) rollover specialist Capitalize, aimed at transferring legacy 401(k)s to individual retirement accounts (IRAs).
Under the partnership, Public is integrating Capitalize’s Rollover API solution to help participants allocate their old 401(k) accounts to IRAs directly onto Public’s platform. Once found, Public IRA members can submit a rollover request digitally through Capitalize’s platform.
The offering will be available to U.S. Public members in the weeks ahead, the two firms stated in a release.
“We’re very excited to partner with Public and help its members take control of their retirement savings,” said Gaurav Sharma, CEO and co-founder of Capitalize. “Institutions like Public continue to innovate the investing experience in America, and partnerships like these are critical as we work to help more Americans better save for retirement by easily finding and transferring their retirement savings into one place.”
The solution comes as more workers look for help in locating lost 401(k)s, and as more struggle to rollover their accounts. Capitalize research shows that 54% of workers today struggle to find their legacy retirement plans, which account for an estimated $1.65 trillion in assets.
Furthermore, only 22% of savers complete a rollover without any assistance, and 42% say the process could take two or more months to complete.
“Many of our members have left behind 401(k)s at former employers, and we know they want to consolidate them at Public,” said Stephen Sikes, COO of Public. “We view Capitalize’s Rollover API as a no-brainer solution that helps our members roll over in a simple, user-friendly way to easily consolidate their retirement accounts at Public.”
Public allows members to invest in stocks, options, bonds, and cryptocurrencies while contributing to retirement accounts in the same platform. Capitalize, founded in 2020, helps institutions and consumers digitally locate and transfer retirement assets.
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Amanda Umpierrez is the Managing Editor of 401(k) Specialist magazine. She is a financial services reporter with over six years of experience and a passion for telling stories and reporting news. Amanda received her degree in journalism and government and politics at St. John’s University. She is originally from Queens, New York, but now resides in Denver, Colorado with her partner. In her free time, Amanda enjoys running, cooking, and watching the latest drama show.
