'Prudent Asset Allocation' gives you the confidence of knowing that over the next five years, you don’t have to worry about market conditions,” says Louis S. Harvey of Dalbar, the financial services research firm. 'You can put more money into growth assets.'
Many firms are trying to add retirement income options to defined contribution plans at for-profit companies. TIAA, which invented the in-plan annuity for the non-profit world, intends to cross-over and compete with them.
Buyout firms say they might reduce their usual 2% management fees if they can keep their performance-related payouts, which are contingent on meeting return targets.
Bermuda Triangle News
Midwest Holdings has only about $77 million in market cap, but it wants to be on the leading edge of the 'convergence of insurance and investments.' Its American Life & Security subsidiary sells fixed annuities.
'About $72.6 trillion in assets will be transferred to heirs, while $11.9 trillion will be donated to charities,' according to Cerulli Associates. More than half will be transferred by Baby Boomer households.