Anyone who doesn’t know what Joe DeNoyior’s been up to lately is living under a rock. Hub International acquired his firm, Washington Financial Group, soon after his June 2018 TAPO appearance (correlation, not causation). They then put him in charge of the whole deal, naming him National President of HUB’s Retirement and Private Wealth division.
“This industry is small as far as the players in the advisory space. We all know each other in one way or the other.”
He’s been on a heck of a buying spree ever since, acquiring Aegis Retirement Group, GRP Financial, and, most recently Raffa Financial Services, among others.
“It’s important for us to keep attracting top firms,” DeNoyior told us earlier this year when asked about an incredibly hot M&A market that shows little sign of cooling. “This industry is small as far as the players in the advisory space. We all know each other in one way or the other.”
Yet back in 2018, the Top Advisor by Participant Outcomes said it was all about the experience, comparing the 401k to a summer blockbuster, meaning you can watch a movie on any small screen you happen across. Going to the theater makes it something different. The mega-size, surround sound, airy and aromatic space with overstuffed leather recliners and (often) a waitstaff has moviegoers more immersed and engaged and therefore willing to allocate more money.
It’s pleasant, and why should retirement saving be different? It’s something DeNoyior and his team hit upon some time ago, and the key to success is making the 401k more of an experience than a benefit.
More specifically, DeNoyior said, encourage participants to be engaged, know their “score,” and understand what it takes to achieve positive participant outcomes (hint: save more).
The first part, engagement, should focus on three questions, according to DeNoyior:
- Should I enroll? (Addressed through auto features)
- How much should I save? (An issue on which to concentrate)
- Where should I invest? (Addressed through default features)
“Then spend the time encouraging and celebrating employees who focus on No. 2,” he said. “Hold raffles and giveaways for those that take an online quiz, for instance. Help make them more confident in their decision-making. It’s education with action because one without the other does little. We can lead them to the water, but they must ultimately decide how much to drink.”
When making recommendations to plan sponsors, DeNoyior set expectations based on actions and then measured the success of those actions by outcomes. It’s a bit counterintuitive, but it works.
“I have a laser-like focus on helping our clients’ employees do well,” DeNoyior concluded. “I lead a team that holds this same value. We take complex issues and explain them in terms that drive results. We measure our effectiveness and immediately share it with our clients. It’s a process we systematize with them as early in the relationship as possible.”
Joe DeNoyior is the National President of HUB Retirement and Private Wealth (HUB RPW).
With more than 20 years serving financial markets, John Sullivan is the former editor-in-chief of Investment Advisor magazine and retirement editor of ThinkAdvisor.com. Sullivan is also the former editor of Boomer Market Advisor and Bank Advisor magazines, and has a background in the insurance and investment industries in addition to his journalism roots.
