Float Through Retirement on a CDA

Contingent deferred annuities (CDAs) are income guarantees for managed accounts. Their biggest regulatory hurdle may have been cleared last February, when an NAIC committee agreed that CDAs are annuities and not financial guaranty insurance.

‘Smart,’ from UK, Enters the US PEP Market

'Smart' is the recently-launched American branch of a British fintech with expertise in a kind of retirement savings plan that's called a 'master trust' in the UK and a 'pooled employer plan' or PEP in the US. RIJ interviewed two of its top executives.

Research Roundup

Almost every controversial subject in the US today--from Fed policy to machine learning to immigration--contains an element or theme related to retirement policy. The articles reviewed in this month's Research Roundup are proof of that.

‘iTDFs’ Smooth the Bumps of Retirement Income

A former chief actuary of Denmark seeks a US target date fund company that might use his technology, the 'iTDF,' to create a seamless transition from pre-retirement savings to safe income during the first 20 years of retirement.
Featured

Contingent Deferred Annuities: Still a Rare Bird

Only two life insurers—Transamerica Advisors Life and Great-West Life & Annuity—can be said to be actively marketing contingent deferred annuities, aka stand-alone living benefits. Phoenix is on the cusp.
News

Discount rates fall, pension liabilities rise

In June, the discount rate used to calculate pension liabilities fell to 4.32% from 4.56%, raising the PBO to $1.698 trillion at the end of the month. The overall asset value for these 100 pensions increased from $1.263 trillion to $1.283 trillion.

“Quote” of the Week

"Money, no longer tied to gold or any other firm anchor, can be created instantly, in infinite quantities, on the technocrats' say-so. And so long as factories have spare capacity and unemployment keeps wages in check, there is unlikely to be any significant penalty from inflation"--Sebastian Mallaby, "Europe's Optional Catastrophe," Foreign Affairs, July/August 2012.

The Bucket

Brief or late-breaking items from Jackson National, Guardian Life and BNY Mellon.

It’s Not the Heat, It’s the Frugality

Everyone seems to agree that business has been crazy-slow this summer, thanks to election year paralysis. A bonus feature: My theory on why our monetary system functions like a bathroom sink.