Favorable equity market and interest rate forces resulted in a 2% increase in the average U.S. pension plan funded status during April.
Tag: Investment analytics
The financial crisis resulted in severe declines in the funded status of most U.S. corporate pension funds resulting in almost universal pension deficits; companies’ various responses to the challenge offer some food for thought.
“There is no such thing as a passive glide path design, and this, as well as the many other active decisions that go into the creation and management of a TDF, can translate into meaningful differences in investment risks and results, even among passive TDFs,” observes Jake Gilliam at Charles Schwab.
A report from Greenwich Associates concludes that a move toward more systematic instrument selection would ultimately enhance fund returns by capturing alpha invisible to the naked eye.
The president and CIO of Ryan Labs describes in detail the mechanics behind the firm’s new defensive bond portfolio strategy—and the way his work continues to be shaped by the Pension Protection Act and MAP-21.
The Wells Fargo/Gallup Investor and Retirement Optimism Index remains at a 17-year high, despite a clear uptick in volatility, with the index at +139 in the first quarter; the firm’s head of retirement dissects the findings for PLANADVISER readers.
AlphaCore Launches Risk Factor Analytics Tool, and Franklin Resources Adds to Fixed Income Team.
The appellee, Market Synergy Group, argued unsuccessfully that its representatives would never be able to make the Best Interest Contract Exemption, a key mechanism underlying the new DOL fiduciary rule, workable.
Advisers generally are not qualified to represent their clients before the IRS, and so they generally must shy away from offering tax advice; but that doesn’t mean they can afford to ignore the broad or specific implications of recent tax reforms for their clients.
Morningstar Grows Fund Ratings System with Quantitative Rating; First Trust Merges Two Funds; and Vanguard Changes Benchmarks for Funds.
The annual report from BlackRock offers quite a deep dive into the large 401(k) plan population; highlighting many well-known retirement industry trends, but also a few that are less well-observed.
The new comprehensive practice management platform for 401(k) advisers is powered by Envestnet Retirement Solutions' Practice Advantage solution.
According to data from CEM Benchmarking, defined benefit pensions have outperformed defined contribution plans by less than half a percentage point over the last decade—described as a “huge improvement” for DC plan sponsors.
While the investing rules controlling the Connecticut public pension fund are different from those governing corporate retirement plans, the argumentation as to why gun manufacturer divestment may be the right thing to do offers some food for thought for anyone charged with the fiduciary management of retirement plan assets.
Highlights from a new Natixis survey suggest reporting challenges continue to rank as top hurdle for institutions implementing ESG programs; this includes the concern that public companies may be “greenwashing” reported data to enhance their public image.
“While appropriate for some participants, heavy reliance on equities is almost certainly not suitable for as many 401(k) participants as the allocation of the largest TDF managers suggests,” P-Solve argues. “TDFs are built mainly for favorable economic and market environments.”
While they are less trusting of their advisers and providers, clients who identify as “online enthusiasts” have increased the amount of market risk they are taking.
Wilshire Consulting Launches Inclusivity Initiative; SEIC Expands Manager Research Platform with Janney; ISS Creates Scoring Solution for Institutional Investors; and more.