The research, published this morning, indicates "poorly designed investments strategies" have resulted in many DC members being 25% worse off than just seven weeks ago.
Global equity volatility has impacted members' pots whilst falling bond yields has reduced the retirement income they can buy.
Ken Anderson, head of Xafinity DC Solutions, said :"Inappropriate investment strategies not only impact employees' pension benefits, but also adversely impact the perception of their employers' benefit provision.
"Diversified investment strategies that minimise volatility for targeted levels of return and then appropriately derisk as members approach retirement can largely shield individuals from market volatility. Crucially, such approaches ensure that employees continue to appreciate the pension benefit that they are provided with."
Investment volatility and material market falls are not new phenomena, having occurred during the 2000-2003 dot.com bubble and also during the 2008/2009 Credit Crunch. Such events will very likely happen again.