Products September 19, 2024

Product and Service Launches – 9/19/24

FinFit partners with Sunny Day Fund to add emergency savings accounts; Equitable enhances flagship retirement solution for K-12 educators; Munich Re launches longevity reinsurance product for US and Canada markets; and more.

Reported by

FinFit Partners With Sunny Day Fund to Add Emergency Savings Accounts

FinFit, a financial wellness platform available to U.S. employers, has partnered with Sunny Day Fund to make workplace emergency savings accounts available to its customers via the FinFit SafetyNet platform.

The FinFit SafetyNet platform is comprised of three elements:

Want the latest retirement plan adviser news and insights? Sign up for PLANADVISER newsletters.

  • Emergency savings: Employees elect to have an amount of their choosing deposited into their Sunny Day Fund emergency savings account each pay period. Payroll integration is used to set up the withholding;
  • Emergency credit: Employees can access funds at any time to cover unexpected expenses or make financial ends meet; and
  • Debt consolidation loan: Employees can pay down debt at a lower rate or avoid high-cost payday loans or borrowing from retirement savings. They can also choose to “plus-up” their loan repayment to add to their emergency savings account while they are repaying their loan, or “spill over” the same repayment amount into savings after their loan is repaid in full.

“We’re thrilled to partner with Sunny Day Fund to help workers build short-term liquidity and longer-term savings all in one seamless experience,” Michael Woodhead, chief commercial officer of FinFit, said in a statement. “For such a big undertaking, we needed a partner with demonstrable success in moving people from debt into savings.”

Equitable Enhances Flagship Retirement Solution for K-12 Educators

Equitable, a financial services organization and principal franchise of Equitable Holdings Inc., announced a new series in its Equi-Vest line of deferred variable annuity products, Equi-Vest Series 202. This enhanced version is designed to help educators supplement their retirement savings.

Equi-Vest Series 202 is available to employees enrolled in a 403(b) plan at public schools across the United States. The structured investment option allows participants to capitalize on potential market gains, up to a cap, while maintaining a level of protection against market losses. Specifically, it provides buffered indexed options that include downside protection on losses up to 30%, longer segment periods and the opportunity to lock in gains.

It also provides growth potential that mirrors the index selected, up to a cap. Equi-Vest is the only 403(b) product in the market that offers a variable annuity with an index-linked option, according to FinFit.

“Our new EQUI-VEST series builds on our expertise as the leading provider of registered index-linked annuities, adding an investment option that helps address these concerns,” Jim Kais, head of group retirement for Equitable, said in a statement. “We hope this makes planning for the future a bit more reassuring for educators, so they can stay focused on teaching their students.”

Munich Re Launches Longevity Reinsurance Product for US and Canada Markets

Munich Re North America Life has announced a new offering—longevity reinsurance—aimed at allowing clients to accumulate assets while transferring biometric risk.

Clients can pass on longevity risk by converting uncertain future pension or annuity payments into a fixed cash flow stream, locking in mortality assumptions and a fee at inception.

With the increased reserve and capital requirements for longevity risks, and further changes coming in the U.S., insurers and asset reinsurers can leverage Munich Re’s strong balance sheet and deep mortality expertise.

“We are known for applying our scale, capacity, and insight to solve complex client challenges in ways that enable them to grow their businesses,” Mary Forrest, president and CEO of Munich Re North America Life, said in a statement. “We look forward to partnering with clients to evaluate the impact of longevity reinsurance and to designing a customized approach that supports their specific goals.”

In Practice September 19, 2024

Elections Could Effect Corporate DEI Programs

The polarized political climate is causing corporations to reevaluate their commitment to diversity, equity and inclusion, according to a panel hosted by WIPN.

Reported by

In the lead-up to a crucial election year, discussions about diversity, equity and inclusion have become increasingly polarized, with many corporate leaders reevaluating their commitment to these programs, according to speakers participating in a Financial Finesse-hosted online panel.

Kristen Eskew, vice president of diversity, equity, inclusion and belonging at OneDigital, is surprised at the intensity of the political climate surrounding DEI issues over the past year.

Want the latest retirement plan adviser news and insights? Sign up for PLANADVISER newsletters.

“Never in 110 years could I have imagined it would be this heavy,” Eskew said during a webinar held on Wednesday, referring to recent events including the rollback of affirmative action.

Eskew, speaking at an online panel hosted by WIPN, called “DEI: More Than a Buzzword,” noted that many organizations are not just pausing their DEI efforts, but dismantling them. 

Jennifer Rutley, founder of and principal of Hidden Insights Group, a financial services consulting and research firm, emphasized that some organizations treat DEI as a box-ticking exercise rather than a true commitment to inclusion. She also sounded concerns about uncertainty for the future of DEI initiatives, because their popularity seems to fluctuate with national politics.

“If we do elect the first Black and Asian American woman, we have the potential of swinging back,” said Rutley. “I would love to see us start to find some level of continuity where we don’t have this swinging, because diversity and inclusion is so important to the success of this country.”

Many companies that were heavily invested in DEI efforts previously are now reversing course due to shifting public opinion, according to Laura Stamps, head of DEI strategies and engagement at Financial Finesse, the webinar’s host.

“You’re seeing a lot of these retractions: People who said they were really invested— especially in the mid-to-late 2020s—completely do a 180 now,” she said. “That, again, has to do with what’s popular.”

Stamps called for a more consistent and long-term approach to DEI, warning that the cyclical nature of elections could lead to a lack of meaningful progress if the country continues to “upend everything” every four years.

Amy Glynn, managing partner in Viking Cove Institute, said that diversity can be divisive within organizations. Glynn acknowledged that the subject can be a lightning rod for controversy but emphasized the importance of strong leadership in navigating these challenges. She pointed out that her organization has consistently supported women in leadership roles, crediting this success to unwavering support from leadership, which she said is critical in overcoming resistance to DEI initiatives.

“If leadership is devoted to it, and you continue to build around that energy, then naysayers will go somewhere else,” Glynn said.

The resistance to DEI often stems from a lack of understanding about the specific issues facing marginalized groups, said Tania Brown, vice president of coaching strategy at financial wellness platform OfColor. Brown advocated for data-driven discussions to dispel the notion that DEI is unnecessary or divisive.

“The sense of divisiveness is because some people don’t feel there’s a problem,” she said. “But the data is showing there is—so where is your opinion coming from? Get to the data, unpack that, be willing to have uncomfortable conversations and assure people that when you take care of people, everybody rises.”

Correction: This article fixes the name of the webinar’s host.

«