A Startup Wants You to Join the Smartphone Revolution
August 17, 2010
401(k) industry providers continue to grasp at new technology in an effort to better reach participants, and now several industry veterans have developed a next-generation system for hooking into something many participants carry with them all the time -- their smartphones. Fred Greenstein confirmed the June launch of iJoin, which offers a service that allows participants to use their phones to enroll, adjust investments, change contribution rates and more.
"We really need a new paradigm in how we interact with participants ... Two years from now, all major DC providers will be engaging participants through their smart phone," Greenstein told The 401kWire. "We have developed the industry's most advanced smart-phone technology."
Greenstein -- who partnered with Joe Brummel, Win Cody and Kendall Kay -- confirmed that they "finished version one of the technology" a few weeks ago. Several providers have already launched their own mobile applications, Greenstein said, "none of which are transactional."
"You can view your account and see what your balance is. But you can't make changes," Greenstein said. "It's baby steps in the right direction."
In contrast, Greenstein explained, iJoin includes a guided decision-making process (which participants can use on their own or in a group setting at an enrollment meeting) that acts like a "virtual advisor," performing a simple GAP analysis and involving a risk tolerance questionnaire. Participants can update their information, confirm selections from the virtual advisor (or pick their own choices) and make the changes, all on their phone. And the provider or advisor is automatically e-mailed a summary of whatever changes are made. For participants who don't have a smart phone, at least in a group setting, simply lend them one during the meeting. "
iJoin offers a cost-effective, green solution to improving individual retirement outcomes, supporting plan fiduciaries and increasing net revenue," Greenstein said.
According to Greenstein, they have tested iJoin on Blackberries, iPhones, LG Voyaters and Palms, as well as iPod Touches, iPads, laptops and desktop computers. They're working on compatibility with Google Droid phones, too.