Either paranoid or perceptive, public pension administrators say they are being sandbagged by a pervasive, persistent stealth effort to convert their DB plans to DC and gain greater control over their collectively immense assets. Maybe they're just observing business as usual.
We summarize four recent papers: 'Portfolios for Long-Term Investors,' 'What is the Value of Annuities?,' 'Public Economics and Inequality: Uncovering Our Social Nature,' and 'Financial and Total Wealth Inequality with Low Interest Rates.'
How will variable annuity contract owners use their income benefits? That question is vital to annuity issuers and to fiduciary advisers with clients who own VAs. This Texas Dep't of Insurance actuary knows a product that can help them find out.
Bloomberg reported this week that Prudential is considering selling its retirement plan recordkeeping business. Prudential didn't confirm the report, but several industry insiders did. Low interest rates, high costs of IT makeovers, and sticky stable value fund guarantees are driving the move, RIJ was told.
By increasing enrollment, auto-enrollment inevitably increases the number of employees eligible for a matching contribution, if any, and in such cases can drive up employer costs. Something’s got to give in such a situation, writes Barbara Butrica of the Urban Institute
At the RIIA annual conference in Austin, Texas, this week, awards were given to New York Life, Jackson National, JP Morgan Chase, Prudential, Shlomo Benartzi, Wade Pfau and Michael Kitces.
In its annual report on global pensions, Mercer notes that the world is embracing the DC model but still hasn’t figured out how to help participants convert the assets to income.
So far, five giant plan sponsors, including Shell, have joined a group that will advise PensionsEurope, an association of pension associations in 21 European countries.
Philip A. Falcone of Harbinger Capital Management may not exercise control over a New York-licensed insurance company for seven years, by order of the New York Superintendent of Financial Services, Ben Lawsky.