Sales of certain fixed annuities were lifted by the recent uptick in the Fed's benchmark interest rate, but sales of variable and indexed annuities were depressed in the first quarter of 2017 by uncertainty over the future of the DOL fiduciary rule.
The anticipated low return environment doesn't have to ruin your retirement plans, according to industry and academic speakers at the Pension Research Council's annual symposium, held May 4-5 at Penn's Wharton School.
Prudential and AXA have remained among the perennial leaders of the variable annuity space by patiently tweaking existing products and exploiting niche opportunities.
'The only way to get closer to meeting your spending goals is through some sort of partial annuitization strategy,' said Michael Finke, dean of The American College of Financial Services, at the Retirement Industry Conference in Orlando last week.
'The Labor Department has concluded that it is necessary to seek additional public input on the entire Fiduciary Rule,' wrote the Labor Secretary this week,' but added that he sees 'no principled legal basis to change the June 9 date.'
The Labor Secretary did little this week to dispel the annuity industry's uncertainty about the future of the fiduciary rule. Neither did he demonstrate that he understands what the fight over the fiduciary rule is about.
New York Life was the overall top seller of non-variable deferred annuities, with a market share of 9.6%. Allianz Life retained its top ranking in indexed annuity sales with a market share of 13.1%.
Despite the negative effect of the DOL fiduciary rule on VA sales to rollover IRA clients, “VAs will still represent an area of opportunity for liquid alternative asset managers,” said a new report from Cerulli.
Harbinger Group sells indexed annuity issuer FGL to Chinh Chu and William P. Foley II.
Danes born between 1956 and 1962 are entitled to receive a state pension at the age of 67. Under the plan that has now been dropped, this age would have increased to 67.5 years.
Bogoian joins Prudential from Voya Financial (the former ING U.S.), where she was senior vice president of Retirement Products.