Deals & People May 31, 2019

Retirement Industry People Moves

Cohen & Steers adds global marketing head; Insight Investment hires leader of marketing in North America; and Transamerica brings in directors of client engagement and retirement strategy.

Reported by
Art by Subin Yang

Art by Subin Yang

Cohen & Steers Hires Global Marketing Head

Paul Zettl has joined Cohen & Steers as senior vice president, head of Global Marketing and chief marketing officer. Zettl will lead strategic marketing initiatives for all client channels and platforms worldwide.

“Paul’s experience in building global investment brands will be crucial in extending the firm’s position as a leading manager of listed real assets and alternative income,” says Todd Glickson, executive vice president, head of Marketing, Product and Corporate Strategy. “In recent years, we have broadened our global footprint through the relaunch of our offshore fund lineup, entered the U.S. retirement fund market, and grown into the endowment, foundation and family office segments. This demands a more expansive marketing strategy, and we are delighted Paul is joining us to carry out that vision.”

For more stories like this, sign up for the PLANADVISERdash daily newsletter.

Robert Steers, chief executive officer, adds, “This newly created role reflects our commitment to broadening our outreach to institutions and wealth channels worldwide.” 

Zettl comes to Cohen & Steers from T. Rowe Price, where he most recently served as group vice president, head of Product Marketing and Offer Management. In this role, he oversaw product marketing and offer management for the U.S. intermediary business. He was also responsible for the firm’s portfolio construction practice and developed and managed value-added programs for wealth and retirement advisers and intermediaries. During his time at T. Rowe Price, he launched a global enterprise brand campaign that included cross company integrated advertising, digital experiences and associate rollout. He also led multiple diversity and inclusion initiatives within the firm and raised awareness and visibility around issues of diversity in the broader investment advisory community.  

Insight Investment Hires Leader of Marketing in North America

Jennifer Babsin has joined Insight Investment as head of Marketing, North America.  In this newly-created role, Babsin will lead all North American marketing programs as Insight continues to leverage its liability driven investment (LDI), fixed income and multi-asset capabilities to help pension plan sponsors, consultants and financial advisers meet evolving challenges.

Jack Boyce, head of Distribution for North America at Insight, says, “Jennifer is a skilled industry veteran with an impressive track record of developing and executing campaigns that help institutional and intermediary clients make well-informed decisions.  We look forward to her contributions to elevating the Insight brand as we continue to build on our advocacy and momentum in the U.S.” 

Babsin most recently held the role of head of U.S. Marketing and Communications and Global Strategic Marketing Director at Man Group, where she guided firm-wide marketing strategy and activity. Prior to joining Man Group, she served as head of Marketing at Pine Grove Asset Management and chief marketing officer at UBP Asset Management.  She will be based in New York and report to David Chellew, head of Marketing.

Transamerica Brings In Directors of Client Engagement and Retirement Strategy

Chris Messina has joined Transamerica as director of Client Engagement, and Wendy Daniels has rejoined the firm as vice president and director of Retirement Strategy.

Messina will report to M. Palmer Whitney, senior director Client Engagement, Workplace Solutions, while Daniels will report to Kent Callahan, senior managing director of Workplace Distribution and head of Client Management. Messina will focus on working with client executives to create best strategies and practices for Transamerica’s plan sponsor clients, and Daniels will focus on executing the company’s strategy to acquire retirement plan business with an emphasis on health care and higher education retirement plans. She will directly lead the company’s efforts in gathering new not-for-profit retirement plans and promoting Transamerica’s growth as a specialized retirement plan provider.

With more than 26 years working in financial services, Messina has extensive experience with mid- and large-market retirement plans, including defined contribution (DC), defined benefit (DB) and non-qualified plans. He earned a master’s degree from Babson College and a bachelor’s degree from the University of Massachusetts at Lowell.

Daniels has more than 25 years of experience in retirement plans, dedicating most of her career at Transamerica to the development and marketing of the retirement solutions that Transamerica offers today. She holds a bachelor’s degree from the Syracuse University S.I. Newhouse School of Public Communications.

Data & Research May 31, 2019

A Couple May Need $363,000 to Cover Health Care Expenses in Retirement

Medicare covers only 64% of the cost of health care for those 65 and older, according to EBRI.

Reported by

Some couples may need as much as $363,000 to cover their health care expenses in retirement, according to the Employee Benefit Research Institute (EBRI).

This is because when Medicare was established in 1965, it was not designed to cover health care expenses in full. As of 2016, Medicare covered only 64% of the cost of health care services for Medicare beneficiaries age 65 and older, while out-of-pocket spending accounted for 11% of costs. Private insurance covered 12% of costs.

EBRI says that due to the financial condition of the Medicare program and cutbacks to employment-based retiree health programs, in the future, individuals are going to have to pay a greater share of their health care costs in retirement.

EBRI says the amount an individual will need to cover health care expenses in retirement hinges on a number of variables, including when they retire, how long they live in retirement, the availability and source of health insurance to supplement Medicare, their health status, the rate of health care cost increases and interest rates.

In 2019, a man would need $79,000 in savings and a woman $104,000 if they had a goal of a 50% chance of having enough money to cover health care expenses in retirement. However, if their goal was a 90% chance, a man would need $144,000 and a woman, $163,000.

A couple who both had median drug expenses would need $183,000 to have a 50% chance of having enough money to cover health care expenses in retirement. For a 75% chance, they would need $248,000, and for a 90% chance, $301,000.

In conclusion, EBRI says, “Despite lower projected savings targets for health care expenses in retirement among Medicare beneficiaries with high use of prescription drugs throughout retirement, individuals should still be concerned about saving for health insurance premiums and out-of-pocket expenses in retirement.” In fact, EBRI says, many individuals may need even more than the amounts in its report, should they need long-term care, incur other expenses not covered by Medicare or retire before they are eligible for Medicare.

An earlier EBRI brief said that at the extreme, a couple could need $399,000 to cover out-of-pocket health care costs in retirement. Another earlier EBRI brief found that housing is the highest expense individuals face in retirement, accounting for 48% of their bills.

Americans have expressed a desire for including health care cost planning in overall retirement planning.

EBRI’s issue brief can be downloaded here.

Never miss a story — sign up for PLANADVISER newsletters to keep up on the latest retirement plan adviser news.

«