Segal Leaders Perplexed Over Treasury’s Benefit Cut Rejections
A law passed in 2014 allows stressed union pensions to reduce benefits in order to prevent insolvency, subject to approval by the U.S. Treasury. One leading actuarial firms says the agency is preparing to wrongfully reject an application made by one of its clients.
Commercial Real Estate in Question as Remote Work Continues
However, real estate investment trusts are still seen as a good investment diversifier for 401(k) participants.
CARES Act Withdrawals From TSP Averaged $26,270
The nearly 4,000 withdrawals totaled almost $100 million.
Market Risk Remains Participants’ Biggest Concern
American Century surveyed retirement plan participants at the outset of the pandemic, when market volatility was extreme.
Many Project Mild Interest in Private Equity Among DC Plans
The broad trend of fiduciaries pursuing the lowest cost passively managed investment options will likely temper plans sponsors’ interest in adding private equity investments, sources say.
Doll Says Recession Will Be Deepest Since WWII
But the chief equity strategist at Nuveen expects it to be short-lived.
COVID-19: Changing Portfolio Management Forever
Managers See Stocks Buoyed by Stimulus
They warn that there could be a market pullback when second-quarter earnings start being reported and that the coronavirus’ legacy could be $1 trillion in business activity never returning.
A Bad Time to Stretch for Yield
We were already in a new normal of very low interest rates before the coronavirus pandemic struck. It now seems even less likely that the old rate regime will re-establish itself any time soon.
401(k) Trading Ticked Upward in June
Investors continue to favor fixed income, according to the Alight Solutions 401(k) Index.
Be Prepared for a Potentially Wild Third Quarter
After falling precipitously in the first quarter, the S&P 500 Index added 20% during the second, making for the best quarter since 1998 and the best second quarter since 1938. What comes next is anyone’s guess.
Consider How CITs Can Fit Into Your Practice
Should Fixed Income Come First in Glide Path Discussions?
The equity side of the portfolio tends to get a lot of air time, but experts agree that a more balanced approach should increase the likelihood of participants attaining their desired outcomes.
Some Parties Question PE’s Role in DC Plans
It is common to hear that private equity (PE) has been the best performing asset class in recent years for institutional investors, but a new academic analysis challenges that idea.
Economic Murkiness Won’t Soon Dissipate
One economist says there is so much noise in the data that it’s hard to assess where we are right now, let alone where things are going from a macroeconomic perspective.
Remember the Real Role of Stable Value
Tempered Interest in Custom TDF Market Belies Big Opportunities
Market Optimists Confront Gloomy Growth Forecasts
The 2020 equity market outlook continues to hinge on whether a major secondary spike in COVID-19 infections can be prevented; news headlines on this front confirm this remains a very real risk.
401(k) Investors Light on Trading in May
A mere 0.018% of balances were traded daily, according to the Alight Solutions 401(k) Index.
