At a time when low interest rates are pinching off the annuity industry’s oxygen supply—not to mention starving bond investors and crippling pensions—a Columbia University economist's rationale for raising rates might sound like salvation in certain quarters.
Solash, who leads AIG's Individual Retirement business, spoke with us about the company's approach to the annuity market. The NAIC recently reported AIG's overall Life and Retirement businesses as having an industry-leading $18.4 billion in sales.
In retirement, "risk" can turn from an object of pursuit to an object of avoidance. In the second installment of a two-part article, our guest columnist continues his discussion of financial and other risks that retirees and advisors should anticipate.
In the first of a two-article series, the retirement expert, author and editor enumerates and describes the many risks that retirees face. (Spoiler alert: Mortality is not one of them.)
Lincoln Financial, Allianz Life, and now Merrill Lynch have dabbled with artificial face-aging to worry people into saving more. It's based on behavioral finance research, but just thinking about this blend of science and commerce gives me grey hair.
Low rates continue to weigh on fixed annuity sales, the latest Beacon Research Fixed Annuity Premium Study shows. But Beacon CEO Jeremy Alexander said he's encouraged that “a number of carriers are developing new indexed and income annuity products."
InFRE, a non-profit education foundation devoted to “enhancing the retirement preparedness of the American worker,” will train advisors in the use of Achaean's Retirement Outcome software.
The board is seeking “further review of previously proposed changes before making any modifications,” the organization said in a release.
The Financial Stability Oversight Council is also said to be worried that the accelerating automation and speed of the financial markets, according to a news item in the New York Times.
By 2020, Canada, Japan and Russia will each see a 4% decline in their working (ages 15 to 64) populations, while the UK, US and China could see a 2% decline, said a new Mercer report, based on International Labor Organization data.
Brief or late-breaking items from T. Rowe Price and Invesco.