Managed accounts in defined contribution plans have long existed but suffer from low adoption, partly due to limited participant engagement. New technology now allows these accounts to personalize portfolios using more data than just age, potentially improving retirement outcomes. 

Providers are developing hybrid solutions like personalized target-date funds (PTDFs), which tailor asset allocations using existing data without requiring user input. However, experts stress that true personalization—and value—depends on incorporating outside assets and participant-provided details like retirement goals and risk tolerance. 

While artificial intelligence and subscription models may improve engagement, industry leaders see the ultimate goal as total household financial management. 

Finsum: Whether managed accounts can scale effectively and deliver on this promise remains a central question for the future of retirement planning.