It's difficult if not impossible for anyone to describe the contours and textures of the annuity/retirement income business, or even any particular section of it. But fortunately there are people who try.
Envestnet, with the help of six major annuity issuers, has built a platform where advisors from broker-dealers, banks and RIAs can blend insurance products and investments in the same financial plan. It's a service life insurers can't live without. But will RIAs embrace annuities?
In this last article in our series on fixed indexed annuities, we consider the potential role of FIAs in providing retirees with guaranteed lifetime income. We find FIAs to be valuable, but underused for that purpose.
FIA owners can pick from an array of choices as cryptic as those on a roulette table. But if they don't understand options, how can they evaluate these safe but esoteric insurance products?
Products from Great-West, ING-US, Midland National, New York Life, Northwestern Mutual, Sun Life of Canada and Transamerica/AEGON are in contention for the first annual "Innovation in Retirement Income Products" award from RIJ and the RIIA.
With y-o-y sales growth of 150%, deferred income annuities have attracted a lot of attention. But so far the DIA phenomenon has been concentrated among mutual insurers and in the captive agent channel.
Over half of Americans gave themselves an A or B grade on their saving and investing knowledge, while giving the average American a grade of D, according to a survey sponsored by Genworth Financial.
Morgan Stanley Wealth Management is the leader in managed solution programs with $627 billion in AUM at the end of 2Q 2013 and a 21% market share. The other top five firms are Bank of America Merrill Lynch, Wells Fargo, UBS Financial and Charles Schwab.
Only 48% of those surveyed think it is an achievable goal to be debt free at retirement, with only 30% stating they will be able to live comfortably in retirement.
CEO Peter Gerber said the airline's pension costs for domestic employees alone rose from €210m to €250m since 2011. One of the main cost drivers was the contract's guaranteed minimum interest rate of 6-7% for employees.
The Edge Pro fixed indexed annuity gives clients the choice of two index options: the S&P 500 Index and the S&P GSCI Excess Return Index.