Recordkeepers can expect a greater amount of review activity from plan sponsors through 2026, finds new research from Cerulli.
The latest Cerulli Edge report shows that 27% of plan sponsors will conduct a new recordkeeper search this year and 56% plan to run a due diligence review to benchmark recordkeeping fees and services. All plan segments, aside from large employers, said they expect to perform a review of their recordkeeping partners.
The benchmarking may not be a large cause for concern, assures Cerulli. The research found that while recordkeepers receive “thousands of request for proposals or pricing,” only a small number of employers actually switch partners. In fact, less than 5% of plans changed recordkeepers in 2025.
That finding bodes well for recordkeepers wanting to keep clients, but can prove difficult for those aiming to snag a client from competitors.
“Approximately one out of every three plan sponsors conducting a review is seriously considering a change, while the other two are merely performing a benchmarking exercise,” says Chris Bailey, director at Cerulli. “Early lead qualification will help recordkeepers allocate resources effectively by identifying when they have a realistic chance to win the plan. Recordkeepers that can do this will be able to focus on winning viable opportunities rather than pursuing leads that are unlikely to result in a plan sponsor making a change,” he concludes.
To retain clients, the firm also recommends recordkeepers keep an eye out on signs that a client is leaving, like paying attention to low satisfaction scores.
“The importance of addressing service issues proactively cannot be overstated,” says Bailey. “By the time a plan sponsor is conducting a search prompted by a poor service experience, it may be too late for a recordkeeper to retain the plan. Clear communication about any issues that arise can help mitigate the plan sponsor’s concerns.”