Financial Engines

Financial Engines was co-founded in 1996 by Professor William F. Sharpe (Bill), a recipient of the 1990 Nobel Prize in Economic Sciences for his pioneering work on the theory of financial economics, including how prices of financial assets are determined and the link between risk and return, Professor Joseph A. Grundfest, a former SEC commissioner and a professor of law at Stanford Law School, and the late Craig Johnson, then Chairman of the Venture Law Group. The company was founded to address the need for independent investment advice. Traditionally, high quality, personalized investment advice had been available only to large institutions and the affluent. Bill's vision was to leverage technology to make high quality independent advice available to millions regardless of their wealth or investment expertise.  And we've been on the cutting edge ever since, transforming the way people plan, save, and invest for retirement.

We started as the pioneer of online investment advice with the launch of the first independent Online Advice platform in 1998. Today, most large companies offer investment advice as part of their standard benefits offering. Following the introduction of Online Advice, we focused on expanding our service offerings to provide investors with advice on multiple tax-deferred accounts and taxable investments.

Along the way, we realized that not everyone wants to be a retirement expert. Some people would rather have someone else do the heavy lifting. The question is who? Unfortunately, no one was available at a price everyone could afford.

In January 2011, we introduced Financial Engines® Income+, an extension of our Professional Management program. Income+ helps turn an employee’s 401(k) into steady monthly payouts that can last for life.^† It was designed to provide employees with the flexibility and control they want, along with safety balanced with growth, and access to an advisor representative—all while being safe and easy for employers to implement. Unlike other retirement income solutions, Income+ is neither an investment product nor an annuity, but a hybrid solution offering the benefits of both. It is made possible by using our proven technology, our money management expertise, and an advisor representative team to deliver personalized solutions.

Financial Engines works with large employers throughout the country, including 132 of the Fortune 500* and a number of the largest 401(k) providers, including ACS, Aon Hewitt, Fidelity Investments, ING, JPMorgan, Mercer, T. Rowe Price, and Vanguard. As a result, over one million people have used Financial Engines Online Advice or have their retirement accounts professionally managed by the company. 

^†With Financial Engines’ Income+, payouts begin in retirement at your request. Income+ is designed to manage your investments to create payouts that can last into your early 90s. If you think you’ll want payouts longer than that and want a lifetime guarantee, consider an optional annuity purchase. Financial Engines does not guarantee payout amounts or payouts for life.

*As of September 30, 2011