Low Levels of 401(k) Trading Measured During 2017
The first quarter of 2017 brought only light trading from 401(k) plan participants, according to data provided by Aon Hewitt.
The Markets
Lower Return Environment Highlights Role of Private Equity
New research from Cerulli Associates points to institutional investors’ willingness to embrace private equity as a key source of outperformance.
DC Plan Investors Can Learn From Endowment Portfolios
Endowment investors’ allocation to alternatives increased by 1% to 53%, while the overall bond allocation decreased by 1% to 8%, Nasdaq says.
Boomers Abandoning TDFs at or Near Retirement
There are strategies to help retirees create a lifetime income stream that can reverse this trend.
Language Matters Even More When It Comes to Annuities
An executive with MetLife urges plan sponsors and advisers to avoid talking about annuities “as if they were an investment option … they aren’t really an investment.”
Lump Sum Spending Often Followed By Regret
Roughly one-third of those who report having spent a significant portion of a retirement plan lump sum distribution taken from either a DC or DB plan say they...
TDF Market Shows Signs of Maturity
An increase in the number of TDF providers has been a positive development for investors, as it has led to lower fees and more product choices, according to...
U.S. Pension Plans Look to the Canadian Model
Canadian pensions do a good job of keeping costs down, diversifying and using alternative investments.
How Reverse Mortgages Can Fill the Retirement Income Gap
Who qualifies, and how much can be borrowed?
Investors See Fewer Obstacles to Incorporating ESG in Portfolios
However, one significant barrier remains: the lack of transparent, standardized and quality data.
Securities Lending Seeing Higher Demand from Institutional Investors
Higher interest rates, changes in collateral used and other trends can result in higher revenues for institutional investors, such as DB plan sponsors.
Managing Risk While Investing For Governmental Retirement Plans
Serving governmental retirement plans is viewed as attractive by many providers, simply due to the sheer size and stability of the clientele, but one ERISA attorney warns there...
DB Plan Clients See Lump Sum Favorability Shift
The IRS prohibits DB plans from paying lump sums to in-pay retirees and beneficiaries,” but many terminated vested participants will view lump sums as attractive.”
Prime Money Market Funds Gaining Favor Again
Investors had previously shown more interest in government funds due to money market fund regulation.
Could CITs Dominate DC Space?
New research suggests that total retirement assets in CITs have grown rapidly in the last few years and potential advantages can be very appealing for plan sponsors.
Investors Must Be Proactive About Managing Retirement Taxes
The 2017 J.P. Morgan Asset Management Guide to Retirement has been released, offering the firm’s updated take on the capital markets and the latest in personal financial planning.
Analysis Suggests Roth Almost Always Outperforms Traditional IRA
Investing in a Roth versus a traditional IRA effectively raises the limit on what one can save, leading to materially greater wealth in retirement in the vast majority...
QDIA Development and Income Flexibility Key Trends in 2017
Product development and participant demands may open a wider door for retirement income solutions in the DC space, according to new research by Cerulli Associates.
Assets in DC Plans Grew 10% from 2014 to $6.7 Trillion in 2016
Across both DB and DC plans, retirement assets total $19.1 trillion, according to data from a Federal Reserve report on total retirement asset holdings and flows.
Employees Using ESPPs Wisely, Fidelity Says
The investment firm says that employee stock purchase programs (ESPPs) can significantly boost workers’ savings.