The New ‘Big O’?

The revelation of a novel share class of variable annuities--its working title is "O" shares--was perhaps the most interesting piece of news that emerged from the IRI Marketing conference in Washington, D.C., last week.

Research Roundup

We summarize four recent papers: 'Portfolios for Long-Term Investors,' 'What is the Value of Annuities?,' 'Public Economics and Inequality: Uncovering Our Social Nature,' and 'Financial and Total Wealth Inequality with Low Interest Rates.'

An Annuity’s ‘Moneyness’? There’s an App for That

How will variable annuity contract owners use their income benefits? That question is vital to annuity issuers and to fiduciary advisers with clients who own VAs. This Texas Dep't of Insurance actuary knows a product that can help them find out.

A Chip Off the Old Rock?

Bloomberg reported this week that Prudential is considering selling its retirement plan recordkeeping business. Prudential didn't confirm the report, but several industry insiders did. Low interest rates, high costs of IT makeovers, and sticky stable value fund guarantees are driving the move, RIJ was told.
Featured

Video: How John Hancock Simplifies Annuities

Tom Mullen, vice president of marketing, John Hancock Annuities, explains that his firm's simple VA contract fell flat, but that other efforts at simplification have worked. Recorded at IRI Marketing Conference.

Video: How Edward Jones Simplifies Annuities

Tim Burke, principal, Insurance Solutions, at Edward Jones, explains how switching exclusively to a new "O" share VA contract will make the annuity sale easier. Recorded at IRI Marketing Conference.
News

Big gender discrepancy in UK savings

British women have a median balance of just £9,100 ($14,620) in their defined contribution “pension pots,” while men have a median balance of £52,800 ($84,820).