The Case for ‘Behavioral’ Portfolio Theory

In his latest book, 'Finance for Normal People: How Investors and Markets Behave,' Prof. Statman describes the behavioral-wants frontier. He contends that people seek 'utilitarian, expressive and emotional' benefits from what they buy.

Time for Retirement ‘SeLFIES’?

The Nobel Prize-winning economist and his colleague propose a new way to turn DC savings into retirement income. It involves 'Standard of Living Indexed, Forward-Starting, Income-Only Securities' (SeLFIES), an unprecedented government bond.

Survivor Funds: Not for the Faint of Heart

“Survivor funds,” which offer mortality credits but aren’t annuities, could provide investors with enhanced returns, these authors claim. But, for some, loss of principal would be certain. (Painting of New York's Tontine Coffee House by Streeter Blair, 1953)

Savings Pros Meet in City of Big Spenders

At the NAPA 401k Summit in Las Vegas this week, nearly 2,000 plan sponsor advisors et al worried about policy threats to their industry. At nearby slots and gaming tables, middle-class Americans fecklessly squandered their nest eggs.

The Fed Reveals its Game Plan

'Given a snail’s pace of removing excessive monetary policy accommodation, it is hard to envision Fed policy threatening the economy any time soon,' a former senior economist at the Fed who blogs at Numbernomics.

Many Happy Returns!

As a self-employed person who writes painful quarterly checks to Uncle Sam and pays both ends of his Social Security tax, I made my peace with the infernal revenue service long ago.

Spruced-up variable annuities from Principal Financial Group

The Lifetime Income Solutions II contract offers two income riders, one of which has a 5% simple roll-up. The Pivot contract offers a two-sleeve strategy that calls for periodic transfers from an accumulation account to a deferred income annuity.