Whither the variable annuity business? We asked Bruce Ferris of Prudential, Liz Forget of MetLife, Eric Henderson of Nationwide Financial, Dan Herr of Lincoln Financial Group, Richard Moran, formerly of Symetra, Alison Reed of Jackson National Life Distributors, and Cathy Weatherford of the Insured Retirement Institute.
Ken Mungan and Casey Malone of Milliman, Chad Slawner and Guillaume de Gantes of McKinsey, Tim Paris of Ruark Consulting, Jerry Golden and Moshe Milevsky share their visions of the future of the variable annuity business.
Advisor Mark Cortazzo’s new business, Annuity Review, is aimed at alerting VA owners to the hidden value in contracts that they might otherwise surrender or misuse.
There are “people out there” who are “running algorithms to spot good targets for excessive fees lawsuits,” said Jason Roberts, CEO of Pension Resource Institute in Manhattan Beach, Calif.
New research from Michael Kitces and Wade Pfau suggests that many people—especially if they don’t live longer than average—would be better off starting out with half their money in stocks and half in bonds, and then gradually reducing their bond allocation over time.
Yale law professor Ian Ayres sent a provocative letter to thousands of plan sponsors. But his research is more temperate than his mail.
A centrally-managed pool of defined benefit funds would aim for a target participant benefit of 1/80th of salary per year of service, based on a combined employer/employee contribution of 20% of salary. But participants would share some of the investment risk.
Prudential announced July 2, the deadline, that it would challenge its designation as a SIFI and seek a hearing. That same day, American International Group and GE Capital announced that they had accepted such a designation, the first non-banks to do so.
Robert Khuzami was Enforcement Director at the Securities and Exchange Commission and Kenneth Lench was chief of the Structured and New Products Unit.
"Larger retirement plan providers will look globally to achieve growth in new markets such as Latin America, Asia and the Middle East," the technology giant predicts.
Brief or late-breaking items from Nationwide, Spain, New York Life, Transamerica and T. Rowe Price.