
Market Observers Mixed on Where Stocks Go From Here
While the S&P 500 has recovered all its losses from the first quarter plunge, the comeback hasn’t been equal across all sectors. What comes next is anyone's guess.

Federal Reserve Head Reviews Why Inflation Matters
A recent speech given by Jerome Powell included some important reflections on history and a few basic lessons about the critical—and often misunderstood—role of inflation in the U.S. economy.

FOMC Action Cements New Normal for Rates, Inflation Outlook
The economy is always evolving, says Federal Reserve Chair Jerome Powell, and so the nation’s monetary and fiscal strategies for achieving its goals must evolve as well.
Retirement Industry Experts See Tremendous Promise for PEPs
Many say they think the pooled employer plans authorized under the SECURE Act will open more doors for small businesses.

Future Trends in CIT Product Development
Although collective investment trusts hold a fraction of the total assets in retirement plans, with ongoing changes in the broader intermediary landscape, they appear to be poised for continued growth.
More Employers Including ESG Investments in Executive Compensation, Retirement Programs
Surveys find plan sponsors and participants have a growing interest in environmental, social and governance issues.
401(k) Participants Barely Touched Accounts in July
However, the movement from equities to fixed income continues, according to the Alight Solutions 401(k) Index.

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.