Which of the following best illustrates the impact of working with an investment advisor for retirement plans?

Working with an investment advisor for retirement plans significantly enhances the management of investment portfolios, ultimately leading to higher returns. Investment advisors possess specialized knowledge and expertise that allow them to analyze market trends, allocate assets strategically, and adjust the investment selection based on participants' goals, risk tolerance, and time horizons. This professional management helps to identify and capitalize on investment opportunities that individuals might overlook, optimizing the growth potential of retirement assets.

In contrast, limited access to diversified funds would suggest a shortcoming in the advisory services, which is not reflective of the primary goal of engaging with an advisor. Reduced employee engagement in retirement planning implies a negative outcome that typically does not arise from professional advice; instead, well-directed advisory services often encourage better participation and understanding of retirement options. Increased reliance on government benefits minimizes the objective of collaborating with an investment advisor, as the goal is to enhance participants' retirement savings, making them less dependent on government support. Thus, the association of higher returns with professional management best encapsulates the positive impact of working with an investment advisor in the context of retirement plans.