CDAs and the Law

Contingent deferred annuities (CDAs) are on the minds of insurers these days and took up a fair portion of yesterday’s seminar on securities products of insurance companies at the Practicing Law Institute in New York.

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

A Primer on Safety-First Retirement Planning

Pfau reviews a new book on retirement income planning by financial planner Erin Botsford, who he says "does a good job explaining the safety-first approach to readers who may be unfamiliar with the concept."

Can We Survive Four More Years?

This always-bearish guest columnist expects that it will eventually be morning again in America, but not without an intervening period of financial chaos and catastrophe.
News

After 30 years, Ben Nelson returns to NAIC

The retired Democratic Senator from Nebraska, a former insurance executive and regulator, succeeds outgoing NAIC CEO Terri Vaughn at a turbulent time for the regulation of annuities and other insurance products.

Obama nominates Mary Jo White to chair SEC

A Wall Street and Washington veteran, White has served as federal prosecutor, white-collar defense attorney, and director of the NASDAQ stock exchange.

Nationwide enhances VA alternative asset options

Ten new guidance models, known as Nationwide Guided Portfolio Strategies (GPS), allow advisors and clients to choose among multiple pre-packaged options focused on alternatives.

Europe moves toward financial transactions tax

In October 2012, Italy, Spain, Estonia and Slovakia pledged support for the tax, bringing the number of member states backing the FTT to 11, higher than the minimum of nine countries required.