Managed accounts are one way to build annuities into 401(k) plans. Morningstar is bundling Hueler Income Solutions into its managed accounts, giving participants an easy path to an income annuity purchase.
Many RIAs would like to give their clients a lifetime income guarantee without cannibalizing their assets under management. A contingent deferred annuity, aka a stand-alone living benefit, lets them do that.
'Inflation could increase skepticism of a potential customer’s ability to afford life and annuity products, especially in the middle market,” said an AM Best analyst.
Under the bill, participants who are defaulted into an annuity must have 180 days before their premium becomes illiquid, and the participant must receive 30 days notice before the premium becomes irrevocable.
A 6-year term contract with a 10% downside buffer and a 0.95% annual segment fee can earn uncapped returns equal to 140% of growth in the S&P 500, an Athene release said.