How T. Rowe Price Approaches the ‘401(k) Income’ Market

By bundling a deferred income annuity with a managed payout program, T. Rowe Price's optional 'out-of-plan' 401(k) income tool aims to boost participants' spending power in retirement by as much as 50%, relative to a managed payout program with no annuity.

J.P. Morgan Asset Mgt Joins the 401(k) Annuity Race

To educate participants, JPMAM's ‘My Retirement Income Planner,' an online tool for 401(k) participants, will help them decide whether to cover 25% of their plan savings with an Equitable or Prudential lifetime income guarantee at retirement.

RIJ Launches the 401(k) Income Research Center

RIJ intends to give plan sponsors, plan advisors, retirement plan service providers and others an up-to-date, easy-to-access source of curated information and competitive intelligence on products and processes that can help 401(k) participants turn their savings into income.
Featured

Nominal SPIAs Beat Nominal DIAs—But Perhaps Not for Long

“DIAs may represent a more palatable hedge against longevity risk for retirees than traditional annuities, because they are cheaper and therefore provide more liquidity to retirees,” writes Morningstar's David Blanchett in a Journal of Financial Planning article.

‘Changing of the Guard’ Continues in VA Sales

MetLife is selling one-third of what it was two years ago. Prudential is selling half of what it did in the first two quarters of 2012. The biggest gainers since then include Transamerica, SunAmerica, and Lincoln. (This piece was written by Morningstar's annuity product manager.)
News

This is your brain on money

Public television will turn its inquisitive light on the topic of behavioral finance next October 16.

Deloitte publishes annual DC benchmarking survey

There continues to be limited interest in in-plan annuities, with 6% of plans offering this option in 2013, up from 4% in 2012. Ten percent of plan sponsors indicated they are looking into adding an accumulation annuity to their current plan.