Retirement Income ‘Smackdown’
In a three-way competition at the CFDD conference, the winning income plan was one that maximized Social Security, converted a 401(k) to a Roth IRA, and rebalanced the remaining portfolio monthly.
A Fortune in Reversals
New federal reverse mortgage rules make it cheaper for seniors to tap their home equity for a line of credit.
Maine Squeeze
By merging its pension plan with Social Security, Maine could offer its public employees a more equitable deal. But can the state’s budget handle the potentially higher costs?
Where’s the Scandal?
Did the New York Fed blunder when it bought the CDOs owned by big banks and insured by AIG? So far, the government hasn't done badly, says our guest author.
Featured
A New Designation Is Born: the RMA
The Retirement Income Industry Association (RIIA) announced the first recipients of its Retirement Management Analyst designation at its annual meeting last week.
How to Reach the Middle Class Investor
The Society of Actuaries has issued two new papers, one that shows advisors how to create income plans for non-affluent retirees and one that explains why the middle-class shuns advisors.
News
Vanguard’s Low Fees Get Lower
Someone investing $50,000 in Vanguard’s 500 Index Fund, for instance, would pay $35 a year in management fees instead of $90.
Jackson Enhances VA GWMB, adds BlackRock Fund
“We’ve always focused on the cafeteria-style VA product, with various withdrawal and bonus options, and we decided to extend that to the GMWB option. It’s an extension of our ‘give the rep a choice’ philosophy,” Jackson VP Alison Reed said.
For Many Investors, Ten-Year Returns Are Less Than Zero
“About half of U.S. equity mutual fund investors are sitting on paper losses of more than 25% even though the S&P 500 stands exactly at its 10-year average,” TrimTabs' weekly bulletin said. “This helps to explain persistent equity fund outflows despite the recent rally."
Quote of the Week
"We're fooling ourselves if we think there's only one approach" to the challenge of generating a reliable stream of retirement income--Vanguard principal John Ameriks, speaking to the New York Times.
The Bucket
Late-breaking items about Google, Symetra Life, TIAA-CREF, New York Life, The Principal, Putnam Investments and more. . .
Bank Annuity Fee Income Improves in 2Q
Year over year, bank annuity fee income was up 8.0% from the $593.1 million in the second quarter of 2009. First-half 2010 annuity commissions of $1.22 billion, however, were down 7.8% from $1.33 billion in the first half of 2009.
