Cutting Longevity Tail Risk Down to Size

In a white paper published last month, Milliman actuaries describe a design for a mini defined benefit plan that a plan sponsor could tuck inside a defined contribution plan like a donut tire in the trunk of a car.

Why Indexed Annuity Sales Are So Strong

Many factors are driving the increase in indexed annuity sales: More manufacturers, better products, more distributors, competitive commissions, aging boomers, and relaxed regulation. But does the bubble contain the seeds of its own deflation?

Lessons from a Living (DC) Experiment

Israel has found that even a mandatory defined contribution system can’t resolve all of the behavioral, economic, or administrative issues that prevent low-income and minority workers from saving for retirement. (Photo: Mahane Yehuda market in Jerusalem.)

What Advisors Want from Annuity Issuers

This week, RIJ received a press copy of “What Advisors Want from Annuity and Insurer Providers-2019,” a study by Practical Perspectives, a Boxford, MA-based financial services market research firm.
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Two Dollar Fallacies

If progress is not made in reducing the projected fiscal imbalances and limiting the growth of bank reserves, reduced demand for dollar assets could cause the dollar to fall more rapidly and the interest rate on dollar securities to rise.
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Forethought Launches ‘ForeRetirement’ VA

The lifetime income benefit captures new contract value highs on a daily basis to age 90, with a minimum deferral bonus of 6% simple interest credited until the 10th contract anniversary or the first withdrawal if sooner.

US at rear of peloton in retirement security: Natixis

Western European nations with universal health care and retiree social programs dominate the top of the rankings, taking the first 10 spots. Norway is first overall, followed by Switzerland, Luxembourg, Sweden and Austria.

Cerulli surveys global DC trends

The United Kingdom is the only market with defined contribution assets in excess of US$1 trillion that is expected to have double-digit growth.

They Just Don’t Get It

It understandably drives the 401(k) industry nuts to hear professors and regulators proposing to cut the tax incentives for the business owners who sponsor workplace plans or for those who contribute the largest amounts to plans.