‘SIMON’ Makes Indexed Annuities Simpler
Originally a platform for distributing structured notes to broker-dealers, SIMON is adding index-linked annuities to its product suite. Prudential is both an investor and, as of today, a product provider.
Annuities and the Charles Schwab Deal
Most of the annuities now on the Charles Schwab and TD Ameritrade platforms are offered by mutual or foreign-owned life insurers. Lincoln Financial is the sole exception.
Longevity Insurance with an Inter-Generational Twist
In MassMutual's new all-digital deferred income annuity, an adult child is the owner, and receives income when a parent (the annuitant) reaches age 91.
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.
M&A speculation drove life/annuity stocks in 2Q2014
A.M. Best attributed much of the quarterly gains for L/A stocks to the merger fever that followed Dai-ichi Life Insurance Co.'s $5.7 billion bid for Protective Life.
Debt service can crowd out savings: LIMRA
Advisors with clients in their 40s need to know how heavy a debt load they are carrying, LIMRA said in a release.
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.
