Stock Split

The Wharton School's business professors are divided on whether the time is right to invest in equities. Pension Research Council director Olivia Mitchell has invested her pension in TIPS, while colleague Jeremy (“Stocks for the Long Run”) Siegel remains bullish. Photo: Jeremy Siegel.

Research Roundup

These five research papers explain why many institutional investors still work with 'high-touch' brokers, why the economy may slow as populations shrink, why parents might save more than they need to, why middle-aged rural whites are unhappy, and why 401(k) balances aren't higher for older workers.

A New Kind of Old Folks’ Home

For retirees who want a bundled (but not too restrictive) solution to their future housing and medical needs, a Type-C Continuing Care Retirement Community is an option. RIJ looked into the costs.

Tetris, Taxes and Retirement

The tradition of withdrawing taxable, tax-deferred and finally tax-free assets in retirement may be obsolete. Matching retirees' tax brackets with the right account types may be better. It's like filling the rows in Tetris with blocks of different shapes.
Featured

Too Big to Handle

"Every time the CEO of is forced to resign, the evidence mounts that these organizations have become impossible to manage in a responsible way that generates sustainable value for shareholders and keeps taxpayers out of harm’s way," writes Johnson, an MIT economist.

The Fed’s Exit Strategy

William C. Dudley, president of the New York Fed, spoke at the Oct. 15 meeting of the National Association for Business Economics in Manhattan. In this excerpt from his prepared remarks, he addressed the Fed’s exit strategy from its current low-interest policy.
News

Financial Engines cites growth of its Income+ program

Participants who use the Financial Engines managed account program, Professional Management, which costs each participant up to 60 basis points a year depending on account size, do not need to pay extra to use Income+.

New York Life expands retail annuity team

Matt Grove, head of annuities at New York Life, recently alerted his LinkedIn network to two high-level openings in annuities at the big mutual, one in variable annuities and another in strategic planning. The firm's retail annuity team is expanding, he wrote.

Quote of the Week

"Economic management, especially in the United States, would be greatly facilitated if resort could occasionally be had to witchcraft. Monetary policy, by far the most promising possibility, involves none. This every good citizen must regret"--John Kenneth Galbraith, The Affluent Society (Houghton-Mifflin, 1958), p. 199.