A DIA with Dividends

The distinctive aspect of Northwestern Mutual's Select Portfolio deferred income annuity is that the contract owner can earn income-enhancing, inflation-protecting dividends over the life of the contract. (Photo: Northwestern Mutual's flagship building in Milwaukee.)

‘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

Gradual versus Lump-Sum Annuitization: The Jury is Still Out

A study by a unit of Fidelity Investments showed that it is premature to recommend a gradual, fixed percentage-of-assets monthly annuity purchase as an option in retirement plans, because the strategy would lead to widely different outcomes based on luck and timing.

Solvency Isn’t Social Security’s Only Problem

We need to reform the program’s benefit structure, now misaligned with its original anti-poverty goals, as much as we need to reform its financing structure, writes the Urban Institute fellow.
News

86% of 67-year-olds are collecting Social Security: MetLife

"Half of this group may not have achieved their retirement savings goals and are not confident about paying for the next phase of their lives,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute.

Employees still not asking about 401(k) fees: Mesirow

“The reality is that many participants need assistance through custom guidance or a more paternalistic, automated solution,” said Chris Reagan, Mesirow Financial senior managing director and practice leader.

The Bucket

Brief or late-breaking items from ING U.S., BNY Mellon and Lincoln Financial Group.

Quote of the Week

"They say there are two sides to everything. But there is only one side to the stock market; and it is not the bull side or the bear side, but the right side" -- Edwin Lefevre, "Reminiscences of a Stock Operator" (1923).