Wednesday, September 30, 2009
California's "Pay-As-You-Drive" Insurance Misses Mark
This week, regulations proposed earlier this month by California Insurance Commissioner Steve Poizner that purport to incentivize Pay As You Drive insurance will likely be adopted as law... Pay As You Drive insurance directly ties the amount you pay for auto insurance with the number of miles you drive. This incentivizes and rewards less driving, which is good for the environment, and offers drivers an easy way to save money, which is great in these economic times. In fact, it’s such a good environmental idea that 13 states have included it in their Climate Action Plans, their blueprints for cutting global warming pollution...
Opposing Views: California's "Pay-As-You-Drive" Insurance Misses Mark
Opposing Views: California's "Pay-As-You-Drive" Insurance Misses Mark
Permalink posted by markw @ 4:47 AM 
Inflation fears eating you up? Consider TIPS
One steady bit of good economic news: Inflation remains near zero. So who would want to pay extra these days to add a dose of inflation protection in their portfolio?
Plenty of people. It turns out sales are hot for Treasury Inflation-Protected Securities, a common hedge against rising prices best known by their acronym TIPS...
Philly: Inflation fears eating you up? Consider TIPS
Plenty of people. It turns out sales are hot for Treasury Inflation-Protected Securities, a common hedge against rising prices best known by their acronym TIPS...
Philly: Inflation fears eating you up? Consider TIPS
Permalink posted by markw @ 4:44 AM
Wealth Matters
Advisors like Myra Salzer are not standing pat in helping clients with their estate and tax planning, despite uncertainty over the Administration’s plans. Here’s how your peers are taking action now
While the outcomes of the healthcare and financial services reform debates now in high gear in Washington will have pivotal effects on advisors this year and into next, lawmakers have yet to weigh in on another vital issue of importance to advisors and their clients: whether to let the estate tax expire in 2010. If Congress fails to act this year, the current tax rate of 45% for assets above $3.5 million will expire in 2010, and return at higher rates in 2011. Come 2011, the previous exclusion of $1 million returns, and the top rate for assets above that amount would revert back to the 55% level set in 2001.
The fate of the estate tax lies in the hands of the Senate Finance Committee and its chairman, Max Baucus (D-Montana)...
Investment Advisor: Wealth Matters
While the outcomes of the healthcare and financial services reform debates now in high gear in Washington will have pivotal effects on advisors this year and into next, lawmakers have yet to weigh in on another vital issue of importance to advisors and their clients: whether to let the estate tax expire in 2010. If Congress fails to act this year, the current tax rate of 45% for assets above $3.5 million will expire in 2010, and return at higher rates in 2011. Come 2011, the previous exclusion of $1 million returns, and the top rate for assets above that amount would revert back to the 55% level set in 2001.
The fate of the estate tax lies in the hands of the Senate Finance Committee and its chairman, Max Baucus (D-Montana)...
Investment Advisor: Wealth Matters
Permalink posted by markw @ 4:42 AM
CIT: Last Ditch Dash To Trash
Pretty boring day overall, looked as if the entire fund complex honed in on CIT to jam that stock in the last minute Hail Mary play in order to "make the quarter". Simultaneously, bond yields plunged again, to make certain that the next container ship of U.S. Treasuries is sent overseas on schedule...
Zero Hedge: CIT: Last Ditch Dash To Trash
Zero Hedge: CIT: Last Ditch Dash To Trash
Permalink posted by markw @ 4:37 AM
Charities Use Dubious Annuity Pitch
Canned come-ons cite yields unavailable to most buyers.
Dozens of charities, including some with brand names, have been soliciting gift annuities over the Web citing unlikely high yields and an endorsement from a fake person who is quoted as saying she is "delighted" with her investment.
The questionable plugs for charitable gift annuities, normally considered a legitimate financial product, have been fashioned from material produced by Crescendo Interactive...
Forbes: Charities Use Dubious Annuity Pitch
Dozens of charities, including some with brand names, have been soliciting gift annuities over the Web citing unlikely high yields and an endorsement from a fake person who is quoted as saying she is "delighted" with her investment.
The questionable plugs for charitable gift annuities, normally considered a legitimate financial product, have been fashioned from material produced by Crescendo Interactive...
Forbes: Charities Use Dubious Annuity Pitch
Permalink posted by markw @ 4:26 AM
Shiller’s underwhelming innovations
James Kwak has a great response to Robert Shiller’s FT op-ed about financial innovation. But his line at the end about how “for the sake of argument, I am willing to concede that these are useful innovations that would make people better off” has been misconstrued, and it’s worth pointing out that in fact they’re not useful innovations that would make people better off.
Why not? Mainly because, at heart, they’re all variations on the theme of doing-clever-things-with-as-yet-uninvented-derivatives. But that’s a theme which really shouldn’t have survived the financial crisis...
Shiller’s underwhelming innovations
Why not? Mainly because, at heart, they’re all variations on the theme of doing-clever-things-with-as-yet-uninvented-derivatives. But that’s a theme which really shouldn’t have survived the financial crisis...
Shiller’s underwhelming innovations
Permalink posted by markw @ 4:20 AM
Tuesday, September 29, 2009
Lawsuit ends GuideOne Mutual Insurance Co.’s discounts for churchgoers
Back in 2005, a story in The Kansas City Star’s business section reported that GuideOne Mutual Insurance Co. was offering auto and homeowner policies with special discounts for churchgoers.
Well, scratch the homeowner discounts...
KC: Lawsuit ends GuideOne Mutual Insurance Co.’s discounts for churchgoers
Well, scratch the homeowner discounts...
KC: Lawsuit ends GuideOne Mutual Insurance Co.’s discounts for churchgoers
Permalink posted by markw @ 5:04 AM
Genworth adds twist to universal life-insurance policies
Genworth Financial is introducing new universal life-insurance policies that add another variable customers can control to manage the premiums they pay.
The GenGuard products allow customers to change the guarantee period of the policy to lower their premiums...
Times-Dispatch: Genworth adds twist to universal life-insurance policies
The GenGuard products allow customers to change the guarantee period of the policy to lower their premiums...
Times-Dispatch: Genworth adds twist to universal life-insurance policies
Permalink posted by markw @ 5:03 AM
Dr. Doom sees no credit bubble in China
Contrarian economist Marc Faber is cautiously optimistic on the outlook for China, saying he sees few signs of a mismatch between supply and demand in the real-estate sector, while its fiscal policies don't appear to be repeating the mistakes made by Western counterparts.
Still, stocks, including those in Asia could be under pressure for the rest of this year, falling perhaps as much as 20% as the U.S. dollar rallies amid resurgent fears of deflation fears, Faber was cited as saying by Bloomberg News in an interview Friday...
MarketWatch: Dr. Doom sees no credit bubble in China
Still, stocks, including those in Asia could be under pressure for the rest of this year, falling perhaps as much as 20% as the U.S. dollar rallies amid resurgent fears of deflation fears, Faber was cited as saying by Bloomberg News in an interview Friday...
MarketWatch: Dr. Doom sees no credit bubble in China
Permalink posted by markw @ 5:01 AM
Jackson Brings Out New VA
Jackson National Life Insurance Company is offering a new variable annuity with an automatic bonus... The bonus on the product, Perspective Rewards, would be either 6% or 8%, depending on the amount of initial premium payments... Adjusted premium of $100,000 and greater will earn an 8% bonus, while adjusted premium under $100,000 will earn a 6% bonus...
National Underwriter: Jackson Brings Out New VA
National Underwriter: Jackson Brings Out New VA
Permalink posted by markw @ 4:54 AM
Fortifying Client Relationships
A Sure-Fire Strategy for Enhancing Key Client Loyalty and Expanding Current Client Engagements
Client retention is an essential ingredient of a solid marketing plan... Oftentimes, accounting firms get bogged down looking for new clients and miss important opportunities to serve their current client base. Further, firms leave their most precious client relationships open for competitors to target when they don’t use effective client retention strategies...
WebCPA: Fortifying Client Relationships
Client retention is an essential ingredient of a solid marketing plan... Oftentimes, accounting firms get bogged down looking for new clients and miss important opportunities to serve their current client base. Further, firms leave their most precious client relationships open for competitors to target when they don’t use effective client retention strategies...
WebCPA: Fortifying Client Relationships
Permalink posted by markw @ 4:53 AM
Senior annuity scam victims receive $1.2M
Four senior citizens who fell victim to an annuity scam run by a Delray Beach-based insurance company will receive more than $1.2 million in refunds... Larry Yale Krakow, 52, president and director of the company – Golani Financial Group aka Golani Insurance Group – was suspended for nine months from selling insurance and ordered to pay a $25,000 fine for his role in the alleged fraud...
South Florida: Senior annuity scam victims receive $1.2M
South Florida: Senior annuity scam victims receive $1.2M
Permalink posted by markw @ 4:50 AM
Fees in the Fast Lane
For Paul Stetter, an Advisor at Fulton Financial in Lancaster, Pa., the reason for transitioning to fees is a no-brainer. The 38-year-old advisor "didn't want to wind up at 55 working the same way I've been working for the past four years," starting from zero each month.
While he has only been in the business since 2005, Stetter is living proof that building a fee business needn't take years. In just four years of being an advisor and two years of access to fee-based products, Stetter's business is already 30% fee based...
BIC: Fees in the Fast Lane
While he has only been in the business since 2005, Stetter is living proof that building a fee business needn't take years. In just four years of being an advisor and two years of access to fee-based products, Stetter's business is already 30% fee based...
BIC: Fees in the Fast Lane
Permalink posted by markw @ 4:48 AM
FDIC Is Broke, Taxpayers at Risk, Bair Muses
The FDIC’s insurance fund is going broke, and Sheila Bair is wondering aloud about how to replenish it. This means one thing for taxpayers: Watch your wallets.
Bair, the Federal Deposit Insurance Corp.’s chairman since 2006, says the agency has many options. One way to boost its coffers, now running low after a surge in bank failures, would be to charge banks higher premiums. It could make them pay future assessments in advance. Alternatively, the FDIC could borrow money from the banks it regulates. Or it could borrow from the Treasury, where it has a $500 billion line of credit.
Bloomberg: FDIC Is Broke, Taxpayers at Risk, Bair Muses
Bair, the Federal Deposit Insurance Corp.’s chairman since 2006, says the agency has many options. One way to boost its coffers, now running low after a surge in bank failures, would be to charge banks higher premiums. It could make them pay future assessments in advance. Alternatively, the FDIC could borrow money from the banks it regulates. Or it could borrow from the Treasury, where it has a $500 billion line of credit.
Bloomberg: FDIC Is Broke, Taxpayers at Risk, Bair Muses
Permalink posted by markw @ 3:45 AM
A.M. Best Special Report: Despite Improved Markets, Fundamental Concerns Remain
In the recently issued Special Report "Life/Annuity Mid-Year Update: Despite Improved Markets, Fundamental Concerns Remain," A.M. Best Co. discusses the drivers behind maintaining its negative rating outlook on the U.S. life/health industry. In September 2008, A.M. Best revised its rating outlook on the industry to negative from stable. In the two quarters that followed, stock prices of publicly traded life/annuity companies plunged, life insurers' general account investment portfolios recorded substantial impairments, equity-sensitive business lines struggled and liquidity and capital preservation became the key focuses for life insurers...
iStockAnalyst: A.M. Best Special Report: Despite Improved Markets, Fundamental Concerns Remain
iStockAnalyst: A.M. Best Special Report: Despite Improved Markets, Fundamental Concerns Remain
Permalink posted by markw @ 3:42 AM
Monday, September 28, 2009
Kanjorski Draft On Credit Rating Agency Legislation Released
Rep. Kanjorski's proposed bill on Credit Agency Reform attached. Currently perusing but some notable highlights:
***
‘‘(A) REVIEW BY THE NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION.—
Each nationally recognized statistical rating organization shall establish policies and procedures to ensure that, in any case in which an employee of an obligor or an issuer or under writer of a security or money market instrument was employed by a nationally recognized statistical rating organization and participated in any capacity in determining credit ratings for the obligor or the securities or money market instruments of the issuer during the 1-year period preceding the date of the issuance of the
credit rating..."
Zero Hedge: Kanjorski Draft On Credit Rating Agency Legislation Released
***
‘‘(A) REVIEW BY THE NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION.—
Each nationally recognized statistical rating organization shall establish policies and procedures to ensure that, in any case in which an employee of an obligor or an issuer or under writer of a security or money market instrument was employed by a nationally recognized statistical rating organization and participated in any capacity in determining credit ratings for the obligor or the securities or money market instruments of the issuer during the 1-year period preceding the date of the issuance of the
credit rating..."
Zero Hedge: Kanjorski Draft On Credit Rating Agency Legislation Released
Permalink posted by markw @ 6:39 PM
Friday, September 25, 2009
After 27% Fall, Finra Plays It Safe
The Financial Industry Regulatory Authority warns on its Web site about the volatility of stocks, urging investors to "think about your risk tolerance." But the front-line regulator for thousands of Wall Street brokerage firms has been doing lots of second-guessing about its own risk-taking appetite.
The Finra investment fund, seeded with more than $1.6 billion from the agency's former stake in the Nasdaq Stock Market, shrank in value by 27% in 2008, mostly because it was heavily invested in stocks, private-equity funds, hedge funds and other assets that tumbled...
WSJ: After 27% Fall, Finra Plays It Safe (Subscription required)
The Finra investment fund, seeded with more than $1.6 billion from the agency's former stake in the Nasdaq Stock Market, shrank in value by 27% in 2008, mostly because it was heavily invested in stocks, private-equity funds, hedge funds and other assets that tumbled...
WSJ: After 27% Fall, Finra Plays It Safe (Subscription required)
Permalink posted by markw @ 10:48 AM
Two-Thirds Don’t Have a Financial Plan
Despite increasing pressure to slash debt and rebuild retirement funds, nearly two-thirds of consumers do not have a written financial plan, according to the 2009 National Consumer Survey on Personal Finance.
The survey, released today by the Certified Financial Planner Board of Standards, found that 64% of respondents do not have a written financial plan in place...
Financial Planning: Two-Thirds Don’t Have a Financial Plan
The survey, released today by the Certified Financial Planner Board of Standards, found that 64% of respondents do not have a written financial plan in place...
Financial Planning: Two-Thirds Don’t Have a Financial Plan
Permalink posted by markw @ 10:32 AM
US Regulators: Life-Settlement Industry Needs More Oversight
A growing corner of the insurance market, in which people collect cash for selling their life-insurance contracts, requires more scrutiny, state and federal regulators will testify in a U.S. House hearing Thursday.
Greater oversight is particularly needed because Wall Street firms have begun to securitize the financial product, known as life-insurance settlements...
WSJ: US Regulators: Life-Settlement Industry Needs More Oversight (Subscription required)
Greater oversight is particularly needed because Wall Street firms have begun to securitize the financial product, known as life-insurance settlements...
WSJ: US Regulators: Life-Settlement Industry Needs More Oversight (Subscription required)
Permalink posted by markw @ 10:29 AM
Is An Annuity Right For You? I.I.I. Video and Podcast Can Help You Figure It Out
In order to help consumers better understand annuities and how they fit into retirement planning, the Insurance Information Institute (I.I.I.) has created a video podcast outlining the most important questions consumers need to ask themselves before they purchase an annuity...
PR Newswire: Is An Annuity Right For You? I.I.I. Video and Podcast Can Help You Figure It Out
PR Newswire: Is An Annuity Right For You? I.I.I. Video and Podcast Can Help You Figure It Out
Permalink posted by markw @ 9:54 AM
John Hancock Life Wins Three Awards From Insurance & Financial Communicators Association
John Hancock Life Insurance was honored with three awards by its peers at the Insurance and Financial Communicators Association Annual Meeting... You've Got the Power, an engaging promotional campaign supporting John Hancock's launch of its highly competitive guaranteed universal life insurance product, Protection UL-G, earned a coveted Best of Show at the awards competition. The centerpiece of the program was a dynamic promotional package mailed to producers...
PR Newswire: John Hancock Life Wins Three Awards From Insurance & Financial Communicators Association
PR Newswire: John Hancock Life Wins Three Awards From Insurance & Financial Communicators Association
Permalink posted by markw @ 9:45 AM
Thursday, September 24, 2009
Attention Good Advisors: I want to know YOUR story
Attention Good Advisors: I want to know your story.
The Investment News daily news bulletin hit my inbox on Tuesday with the following...
Investment News: Attention Good Advisors: I want to know YOUR story
The Investment News daily news bulletin hit my inbox on Tuesday with the following...
Investment News: Attention Good Advisors: I want to know YOUR story
Permalink posted by markw @ 7:17 AM
Annuities and the Hundred Thousand Dollar Challenge
Last week, I wrote a column that was critical on annuities. It sparked a bit of debate in the Bogleheads forum noting some experts in finance were now recommending them. I conceded that a low cost immediate annuity could have its place under certain circumstances including being over the age of 70 and needing longevity insurance. My favorite response, however, came in the form of a private email offering to educate me, but only if I was “serious about learning more..."
BNet: Annuities and the Hundred Thousand Dollar Challenge
BNet: Annuities and the Hundred Thousand Dollar Challenge
Permalink posted by markw @ 7:16 AM
Plan for New Annuity Model Continues at NAIC
A National Association of Insurance Commissioners working group will continue consideration of a new model act on annuity sales suitability following comments from insurers and others that questioned the need for a new measure.
Wisconsin Insurance Commissioner Sean Dilweg said the current Suitability in Annuity Transactions Model Regulation, adopted in 2006, should be revised to match regulatory and marketplace changes. Among other changes, the revised draft would tighten rules on agent training and more tightly hold insurance companies accountable...
INN: Plan for New Annuity Model Continues at NAIC
Wisconsin Insurance Commissioner Sean Dilweg said the current Suitability in Annuity Transactions Model Regulation, adopted in 2006, should be revised to match regulatory and marketplace changes. Among other changes, the revised draft would tighten rules on agent training and more tightly hold insurance companies accountable...
INN: Plan for New Annuity Model Continues at NAIC
Permalink posted by markw @ 7:14 AM
Massachusetts Reviews DBRS Grades on Life Settlements
Massachusetts is reviewing DBRS Ltd.’s grades on investments tied to life insurance policies because they might be inflated like the discredited mortgage bonds at the center of the recession...
Bloomberg: Massachusetts Reviews DBRS Grades on Life Settlements
Bloomberg: Massachusetts Reviews DBRS Grades on Life Settlements
Permalink posted by markw @ 7:10 AM
Life Insurance Stocks May Be Due For A Cooling
The run in life insurance stocks may be drawing to a close, Morgan Stanley analysts said Wednesday.
The sector has surged 50% in the last three months, and shares in companies including Allstate Corp. (ALL), Prudential Financial Inc. (PRU) and Unum Group (UNM) have jumped...
WSJ: Life Insurance Stocks May Be Due For A Cooling
The sector has surged 50% in the last three months, and shares in companies including Allstate Corp. (ALL), Prudential Financial Inc. (PRU) and Unum Group (UNM) have jumped...
WSJ: Life Insurance Stocks May Be Due For A Cooling
Permalink posted by markw @ 7:07 AM
SEC To Srcutinise Life Insurance Securities
Wall Street banks are facing criticism for packaging mortgages into securities and selling them to pension funds and money market funds
Securities and Exchange Commission (SEC), the American stock exchange regulator, is seriously scrutinising the sale of bonds based on life insurance policies to come to a conclusion whether the procedure is fair to policyholders as well as investors – reported Bloomberg...
IBR: SEC To Srcutinise Life Insurance Securities
Securities and Exchange Commission (SEC), the American stock exchange regulator, is seriously scrutinising the sale of bonds based on life insurance policies to come to a conclusion whether the procedure is fair to policyholders as well as investors – reported Bloomberg...
IBR: SEC To Srcutinise Life Insurance Securities
Permalink posted by markw @ 7:05 AM
Break Up the Giant, Insolvent Banks Using America's 100-Year Old Anti-Trust Laws
I have previously pointed out that we can (and should) break up the giant, insolvent banks under a number of different laws... Indeed, the government could break up the “systemically dangerous institutions” under 100-year old antitrust laws.
The two primary U.S. antitrust laws are the Sherman and the Clayton Acts. I'll give a very brief overview of the two acts...
Washington's: Break Up the Giant, Insolvent Banks Using America's 100-Year Old Anti-Trust Laws
The two primary U.S. antitrust laws are the Sherman and the Clayton Acts. I'll give a very brief overview of the two acts...
Washington's: Break Up the Giant, Insolvent Banks Using America's 100-Year Old Anti-Trust Laws
Permalink posted by markw @ 6:59 AM
Dollar under scrutiny at G20 summit
The embattled US dollar is expected to come under scrutiny at a summit of developing and industrialized nations following China-led calls to review its role as a reserve currency.
The dollar issue is bound to surface at the two-day meeting in Pittsburgh as US President Barack Obama and other leaders of the Group of 20 economies debate a new framework for tackling the so called global "economic imbalances" blamed for fueling the latest financial crisis...
Yahoo!: Dollar under scrutiny at G20 summit
The dollar issue is bound to surface at the two-day meeting in Pittsburgh as US President Barack Obama and other leaders of the Group of 20 economies debate a new framework for tackling the so called global "economic imbalances" blamed for fueling the latest financial crisis...
Yahoo!: Dollar under scrutiny at G20 summit
Permalink posted by markw @ 6:56 AM
America Digs Deeper Into Debt
...We can see from the Flow of Funds quarterly report put out by the Federal Reserve that households are reducing their debt at a 1.7% annual rate and business at a 1.8% annual rate. However, while the private sector gets their finances in order the Federal government is increasing its debt at a 28.2% annual rate!
The net effect is that the annual rate of increase in our nation’s debt is currently 4.9%, which is even faster than the rate of increase of 4.1% experienced in Q1 2009. Yep, we are increasing our debt at a faster pace...
Delta Global Advisors: America Digs Deeper Into Debt
The net effect is that the annual rate of increase in our nation’s debt is currently 4.9%, which is even faster than the rate of increase of 4.1% experienced in Q1 2009. Yep, we are increasing our debt at a faster pace...
Delta Global Advisors: America Digs Deeper Into Debt
Permalink posted by markw @ 6:51 AM
Wednesday, September 23, 2009
Better Get Life Insurance Sooner Than Later
Purchasing life insurance is a task most people would rather put off.
"Everybody wants what life insurance does, right? It provides safety for your family, it provides money when it's necessary," says Mark Pfaff of New York Life insurance Company. "It's just nobody wants to prepay for it."
Better Get Life Insurance Sooner Than Later
Source: NY1.com
"Everybody wants what life insurance does, right? It provides safety for your family, it provides money when it's necessary," says Mark Pfaff of New York Life insurance Company. "It's just nobody wants to prepay for it."
Better Get Life Insurance Sooner Than Later
Source: NY1.com
Permalink posted by armandn @ 7:45 AM
Global Financial Crisis Drives New Attitude About Investing And Asset Allocation in America
The Hartford Mutual Funds today announced the results of a new survey examining the change in Americans’ mood on investing as a result of the global financial crisis. Findings reveal Americans are less confident and more conservative about their personal finances than they were a year ago. Most notably, U.S. investors are open to fresh approaches to asset allocation but are confused about the investments they hold and lack knowledge about how their portfolios are allocated. The survey of 530 individual investors who work with financial advisors found a much different American investor than a year ago:
Global Financial Crisis Drives New Attitude About Investing And Asset Allocation in America
Source: Business Wire
Global Financial Crisis Drives New Attitude About Investing And Asset Allocation in America
Source: Business Wire
Permalink posted by armandn @ 7:44 AM
More Than Half of Americans Surveyed Lack a Proper Financial Plan in Case of the Loss of the Family Breadwinner
American families are reporting an increased desire for financial protection in these times of economic crisis, but do not have the proper financial strategy in place to fund their families’ future, according to a new survey released today and sponsored by New York Life Insurance Company. According to the survey, 83% of Americans 30 and older agree that the economic crisis has increased their desire to provide financial protection for their family. Adults aged 30 to 49 (88%) and parents with children under 18 (88%) are particularly likely to have this desire.
More Than Half of Americans Surveyed Lack a Proper Financial Plan in Case of the Loss of the Family Breadwinner
Source: Business Wire
More Than Half of Americans Surveyed Lack a Proper Financial Plan in Case of the Loss of the Family Breadwinner
Source: Business Wire
Permalink posted by armandn @ 7:43 AM
In Down Economy, Americans Consider Life Insurance More Important Than Ever
In these challenging economic times, Americans have made numerous adjustments to shore up their family finances. Savings rates are on the rise, debt is being consolidated and slowly paid down, and people are spending and investing their money more conservatively. It may be time to add another trend to the list. According to a new survey released by the nonprofit LIFE Foundation, 56 percent of Americans say the economic downturn has made it more important to have life insurance, compared to just nine percent who believe the need has diminished. Moreover, over the past year more people appear to have added to their life insurance coverage than have lost or reduced their coverage.
In Down Economy, Americans Consider Life Insurance More Important Than Ever
Source: PR Newswire
In Down Economy, Americans Consider Life Insurance More Important Than Ever
Source: PR Newswire
Permalink posted by armandn @ 7:42 AM
Money-Market Funds Weaken Financial System, Volcker Says
Former Federal Reserve Bank Chairman Paul Volcker recently said that money-market mutual funds undermine the stability of the U.S. financial system and should be regulated like banks.
In an interview with Bloomberg News, Volcker said he feels that banks should not be put at a competitive disadvantage to the unregulated money market funds, and that banks should be protected in order to ensure a stable financial system in the future...
Trading Markets: Money-Market Funds Weaken Financial System, Volcker Says
In an interview with Bloomberg News, Volcker said he feels that banks should not be put at a competitive disadvantage to the unregulated money market funds, and that banks should be protected in order to ensure a stable financial system in the future...
Trading Markets: Money-Market Funds Weaken Financial System, Volcker Says
Permalink posted by markw @ 7:11 AM
California AG Sues Investment Advisor Linked to Madoff
Attorney General Jerry Brown filed suit Tuesday against Beverly Hills investment adviser Stanley Chais, who is accused of directing hundreds of millions of dollars of client investments to Bernard Madoff.
This suit seeks at least $25 million in civil penalties, restitution for victims, disgorgement of profits and compensation, and an injunction prohibiting future violations of California law.
“For decades, Stanley Chais posed as an investment wizard, but in truth, he was nothing more than a Madoff middleman, channeling hundreds of millions of dollars in investor funds to his friend's Ponzi scheme,” said Brown in a statement...
LA Business Journal: AG Sues Investment Advisor Linked to Madoff
This suit seeks at least $25 million in civil penalties, restitution for victims, disgorgement of profits and compensation, and an injunction prohibiting future violations of California law.
“For decades, Stanley Chais posed as an investment wizard, but in truth, he was nothing more than a Madoff middleman, channeling hundreds of millions of dollars in investor funds to his friend's Ponzi scheme,” said Brown in a statement...
LA Business Journal: AG Sues Investment Advisor Linked to Madoff
Permalink posted by markw @ 7:08 AM
HLS professors join amicus brief in Supreme Court Investment Advisor Case
On Sept. 3, four HLS professors joined more than 20 other corporate law and finance professors and scholars in an amici curiae brief filed in the case of Jones et al. v. Harris Associates, now pending before the U.S. Supreme Court... The case, which is scheduled for oral argument on Nov. 2, involves an appeal of a Seventh Circuit decision affirming the trial court’s dismissal of the case against Harris Associates, a mutual fund adviser. The district court ruled that as long as a mutual fund adviser does not breach the fiduciary duty owed to shareholders by failing to disclose all pertinent facts or otherwise hindering the fund’s directors from negotiating a favorable price, no judicial review of the reasonableness of the adviser’s fee is required in order to dismiss a claim under Section 36(b) of the Investment Company Act.
The scholars’ amici curiae brief—filed in support of position of the defendant, Harris Associates,—reviews facts and misperceptions about the mutual fund industry, showing that competition for investors is an important force in constraining advisor’s fees...
Harvard Law School: HLS professors join amicus brief in Supreme Court Investment Advisor Case
The scholars’ amici curiae brief—filed in support of position of the defendant, Harris Associates,—reviews facts and misperceptions about the mutual fund industry, showing that competition for investors is an important force in constraining advisor’s fees...
Harvard Law School: HLS professors join amicus brief in Supreme Court Investment Advisor Case
Permalink posted by markw @ 7:02 AM
Freddie Mac hires Fifth Third's CFO
Mortgage finance giant Freddie Mac (FRE.N) said on Tuesday it would appoint as its chief financial officer Ross Kari, the current CFO of Fifth Third Bancorp (FITB.O), effective Oct. 12... Fifth Third said separately it appointed Daniel Poston, its executive vice president, as CFO effective immediately.
Kari, who was CFO at Fifth Third less than a year, will be responsible for Freddie's accounting, financial planning and investor relations, the government-sponsored company said. He will report to Freddie Mac Chief Executive Charles Haldeman Jr...
Reuters: Freddie Mac hires Fifth Third's CFO
Kari, who was CFO at Fifth Third less than a year, will be responsible for Freddie's accounting, financial planning and investor relations, the government-sponsored company said. He will report to Freddie Mac Chief Executive Charles Haldeman Jr...
Reuters: Freddie Mac hires Fifth Third's CFO
Permalink posted by markw @ 7:00 AM
JPMorgan overhauls overdraft fees
JPMorgan Chase & Co said on Wednesday that it was eliminating some overdraft fees altogether and trimming others, after Bank of America Corp announced a similar move on Tuesday.
The changes follow U.S. congressional leaders' criticism of bank account fees and come as the banks digest rule changes for credit card fees...
Reuters: JPMorgan overhauls overdraft fees
The changes follow U.S. congressional leaders' criticism of bank account fees and come as the banks digest rule changes for credit card fees...
Reuters: JPMorgan overhauls overdraft fees
Permalink posted by markw @ 6:54 AM
RBC Capital Markets: Embracing Technology Integration
Two years ago, RBC Correspondent Services and RBC Advisor Services, wealth management units of Minneapolis-based RBC Capital Markets, faced a strategic dilemma.
The divisions support advice-giving financial consultants, brokers and registered investment advisors (RIAs). Technology is critical to these advisors, whose success depends on charting and executing a course of action for their clients, explaining it simply and effectively, and tracking its progress...
Financial Planning: RBC Capital Markets: Embracing Technology Integration
The divisions support advice-giving financial consultants, brokers and registered investment advisors (RIAs). Technology is critical to these advisors, whose success depends on charting and executing a course of action for their clients, explaining it simply and effectively, and tracking its progress...
Financial Planning: RBC Capital Markets: Embracing Technology Integration
Permalink posted by markw @ 6:51 AM
Agency investigating insurance fraud
Market Street Advisors owner Charles Mark Hall was charged Tuesday with embezzling money from a 90-year-old woman's annuity accounts.
Hall, 50, was arrested on felony charges of embezzlement by an insurance agent and exploiting a disabled or elderly person's trust. Arrest warrants state that Hall took three annuities, or life insurance-related products, worth $168,176.18 from the woman...
The Herald (NC): Agency investigating insurance fraud
Hall, 50, was arrested on felony charges of embezzlement by an insurance agent and exploiting a disabled or elderly person's trust. Arrest warrants state that Hall took three annuities, or life insurance-related products, worth $168,176.18 from the woman...
The Herald (NC): Agency investigating insurance fraud
Permalink posted by markw @ 4:49 AM
Annuities For The Middle Class?
Since the market collapse last year, more investors have been turning to annuities—the ultimate chastity belt at a time when wild volatility in the stock market have reined in more promiscuous behavior and risk... Given the widespread fear in the Great Recession, it’s no surprise annuity sales have skyrocketed over the last year...
Year to date, fixed annuity sales (including immediate annuities and indexed annuities) rose to $62.56 billion for the first half of 2009 from $44.89 billion for the first half of ’08, according to Beacon Research in Evanston, Ill. If you take the last 12 months from the third quarter of ’08 through the second quarter of ’09 the sales were $124.36 billion, which almost doubles the $66.6 billion in sales in ‘07...
FA Mag: Annuities For The Middle Class?
Year to date, fixed annuity sales (including immediate annuities and indexed annuities) rose to $62.56 billion for the first half of 2009 from $44.89 billion for the first half of ’08, according to Beacon Research in Evanston, Ill. If you take the last 12 months from the third quarter of ’08 through the second quarter of ’09 the sales were $124.36 billion, which almost doubles the $66.6 billion in sales in ‘07...
FA Mag: Annuities For The Middle Class?
Permalink posted by markw @ 3:33 AM
Rating Public Pension Funds?
Last week Tara Perkins of the Globe and Mail reported that rating agencies are at the crossroads...
Zero Hedge: Rating Public Pension Funds?
Just like the investment portfolios of most Canadians, Walter Schroeder is a shrunken version of his former self in the wake of the financial crisis... Thee 67-year-old founder of credit rating agency DBRS Ltd. has lost a noticeable amount of weight, something that acquaintances point to when speaking of the stress he and his team have endured over the past couple of years.
...But a year after Lehman Brothers imploded, DBRS, along with other credit raters, is battling the fallout of having given high ratings to a number of securities that cratered. Now, the agencies are under fire from investors, regulators and politicians who are introducing new rules for the sector...
Zero Hedge: Rating Public Pension Funds?
Permalink posted by markw @ 3:30 AM
Tuesday, September 22, 2009
Premium for long-term care insurance prone to increases
Charles and Carolyn Hunt were proud of themselves when they bought long-term care insurance policies in 2000. The Dallas couple, who are in their 70s, thought they had found an affordable way to cover the high cost of nursing care if they someday needed it... Three hefty premium increases later, they're having their doubts.
AIG Life Insurance recently notified the couple that the new monthly premium on each of their policies will be $382 - 70 percent more than the $223 a month they each paid when they first purchased the long-term care insurance...
Philly: Premium for long-term care insurance prone to increases
AIG Life Insurance recently notified the couple that the new monthly premium on each of their policies will be $382 - 70 percent more than the $223 a month they each paid when they first purchased the long-term care insurance...
Philly: Premium for long-term care insurance prone to increases
Permalink posted by markw @ 1:46 PM
In a Down Economy, What Are The Wealthy Doing With Their Money?
Experts who work with the wealthy and observe their spending habits say rich folks are sitting on their cash. Just like the rest of us, they're worried about the future. Suddenly uncomfortable with the nation's financial volatility, the wealthy are revisiting their investment and savings strategies, says Chris Geczy, director of the Wharton Wealth Management Initiative at the Wharton School in Philadelphia.
In a Down Economy, What Are The Wealthy Doing With Their Money?
Source: Bank Rate
In a Down Economy, What Are The Wealthy Doing With Their Money?
Source: Bank Rate
Permalink posted by armandn @ 7:37 AM
How to Make Your Money Last: 3 Strategies to Guarantee Income in Retirement
Once you have your Social Security Strategy down, there's just one little retirement question left to consider: How can you make the money that you've so diligently saved provide the life you want for as long as you live? Oh. That.
How to Make Your Money Last: 3 Strategies to Guarantee Income in Retirement
Source: CNN Money
How to Make Your Money Last: 3 Strategies to Guarantee Income in Retirement
Source: CNN Money
Permalink posted by armandn @ 7:36 AM
More Americans Cashing in on Life Insurance Policies
Many older Americans, who are strapped for cash and as anxious as the rest of us, are selling an unlikely asset: their life insurance policies.
The strategy, as it turns out, isn’t new. Once reserved for wealthy business executives who cashed in their company’s multimillion-dollar insurance policy when they retired, during the recession it’s become more widely used by policyholders.
More Americans Cashing in on Life Insurance Policies
Source: NJ.com
The strategy, as it turns out, isn’t new. Once reserved for wealthy business executives who cashed in their company’s multimillion-dollar insurance policy when they retired, during the recession it’s become more widely used by policyholders.
More Americans Cashing in on Life Insurance Policies
Source: NJ.com
Permalink posted by armandn @ 7:34 AM
State Regulators to Discuss Dropping Moody's
An official from the New York State Insurance Department said that state insurance regulators from across the country expect to discuss the possibility of scratching Moody’s Investors Service from a list of acceptable rating organizations when they meet later this week, according to Reuters.
State Regulators to Discuss Dropping Moody's
Source: Financial-Planning
State Regulators to Discuss Dropping Moody's
Source: Financial-Planning
Permalink posted by armandn @ 7:32 AM
USAA insurance operations earn high ratings from Moody’s
Moody’s Investors Service has assigned strong financial ratings to USAA Property and Casualty Insurance Group and USAA Life Insurance Co.
USAA Property and Casualty Insurance Group has been assigned an ‘Aaa’ Exceptional rating on the company’s financial strength. USAA Life Insurance Co. received an ‘Aa1’ Excellent rating from Moody’s...
BizJournals: USAA insurance operations earn high ratings from Moody’s
USAA Property and Casualty Insurance Group has been assigned an ‘Aaa’ Exceptional rating on the company’s financial strength. USAA Life Insurance Co. received an ‘Aa1’ Excellent rating from Moody’s...
BizJournals: USAA insurance operations earn high ratings from Moody’s
Permalink posted by markw @ 6:00 AM
In a Crunch, Insurers Raise Fees, Trim Sales
Seeking to replenish capital depleted by souring real-estate investments, many insurers have cut back on sales and raised prices on life insurance, much as banks have reduced lending and raised fees to customers to rebuild their cash cushions.
The insurers, under pressure to fill a $9 billion hole in their balance sheets, also are taking a tougher line on risk factors such as high blood pressure and obesity, in effect another way to boost prices, industry executives and advisers say...
WSJ: In a Crunch, Insurers Raise Fees, Trim Sales (Subscription required)
The insurers, under pressure to fill a $9 billion hole in their balance sheets, also are taking a tougher line on risk factors such as high blood pressure and obesity, in effect another way to boost prices, industry executives and advisers say...
WSJ: In a Crunch, Insurers Raise Fees, Trim Sales (Subscription required)
Permalink posted by markw @ 5:59 AM
Vast majority of non-qualified annuity holders earn less than $100K, survey shows
The average household income for a non-qualified annuity holder was just over $75,000
Middle-class Americans and women make up the lion’s share of non-qualified annuity holders, according to a survey from the Committee of Annuity Insurers.
The survey of 1,003 non-qualified annuity owners across the country showed that 80% had annual household incomes that are below $100,000, according to the 2009 Gallup Survey of Owners of Non-Qualified Annuities...
Investment News: Vast majority of non-qualified annuity holders earn less than $100K, survey shows
Middle-class Americans and women make up the lion’s share of non-qualified annuity holders, according to a survey from the Committee of Annuity Insurers.
The survey of 1,003 non-qualified annuity owners across the country showed that 80% had annual household incomes that are below $100,000, according to the 2009 Gallup Survey of Owners of Non-Qualified Annuities...
Investment News: Vast majority of non-qualified annuity holders earn less than $100K, survey shows
Permalink posted by markw @ 4:48 AM
Monday, September 21, 2009
'It Is Time Strip The Rating Agencies Of Their Oligopoly'
Janet Tavakoli is taking aim at rating agencies today at the IMF--explaining why they should be stripped from their NRSRO designation for structured products... The agencies seem to be losing ground fast...
Insider: It Is Time Strip The Rating Agencies Of Their Oligopoly
Insider: It Is Time Strip The Rating Agencies Of Their Oligopoly
Permalink posted by markw @ 10:23 AM
Unable To Sell Homes, Brokers Turn To Arson
A California couple was so dependent on the housing market that, facing economic ruin after they lost virtually all of their property wealth when the economy tanked, they allegedly burned down their own home for insurance money...
Insider: Unable To Sell Homes, Brokers Turn To Arson
Insider: Unable To Sell Homes, Brokers Turn To Arson
Permalink posted by markw @ 10:22 AM
Americans Maintaining Life Insurance Through Economic Turmoil, First Command Reports
While the economy appears to be dragging down life insurance sales, middle-class Americans are hanging onto their personal policies and preserving important protection in an uncertain financial environment (see also First Command Financial Services).
Americans Maintaining Life Insurance Through Economic Turmoil, First Command Reports
Source: Insurance News Net
Americans Maintaining Life Insurance Through Economic Turmoil, First Command Reports
Source: Insurance News Net
Permalink posted by armandn @ 7:40 AM
Americans are $2 Trillion Wealthier
After nearly two years of declines, the net worth of Americans rose by $2 trillion to an estimated $53.1 trillion in the second quarter compared with the first three months of the year.
The soaring stock market accounted for much of the gain. Stock holdings rose by 22% to $6.3 trillion, while mutual funds' value jumped 15% to $3.7 trillion, according to a Federal Reserve report released Thursday.
Americans are $2 Trillion Wealthier
Source: CNN/Money
The soaring stock market accounted for much of the gain. Stock holdings rose by 22% to $6.3 trillion, while mutual funds' value jumped 15% to $3.7 trillion, according to a Federal Reserve report released Thursday.
Americans are $2 Trillion Wealthier
Source: CNN/Money
Permalink posted by armandn @ 7:39 AM
Obama Administration to Block Conflicts of Interest in 401(k) Advice
The Department of Labor is killing a regulation issued in the last days of the Bush administration allowing advisers affiliated with mutual funds, brokerage firms and other companies that sell investments to provide investment advice to 401(k) participants, Investment News reported.
Obama Administration to Block Conflicts of Interest in 401(k) Advice
Source: Retirement Income Journal
Obama Administration to Block Conflicts of Interest in 401(k) Advice
Source: Retirement Income Journal
Permalink posted by armandn @ 7:37 AM
How to Sell Life Insurance Despite Our Struggling Economy (Part 2)
Today, contrary to what our elected government officials would like us to believe, the overall U.S. economy is not seeing much, if any, significant improvement. And because we're getting more and more calls from struggling agents, advisors and planners asking for help selling cash-value life insurance, we believe the ideas and tips in that previous article (Pt. 1) are worth revisiting.
How to Sell Life Insurance Despite Our Struggling Economy (Pt 2)
Source: Producers Web
How to Sell Life Insurance Despite Our Struggling Economy (Pt 2)
Source: Producers Web
Permalink posted by armandn @ 7:35 AM
Friday, September 18, 2009
Despite 529 Plans, Parents Fall Behind on Saving for College
Parents of college-bound students are projected to be able to meet only 11% of future higher education costs, down from 15% in 2008, according to the study released today by Fidelity Investments.
Despite 529 Plans, Parents Fall Behind on Saving for College
Source: Financial-Planning
Despite 529 Plans, Parents Fall Behind on Saving for College
Source: Financial-Planning
Permalink posted by armandn @ 10:49 AM
Annuities Provide Greater Retirement Security for Middle-Class
Results from a Gallup survey released today demonstrate that non-qualified annuities contribute significantly to the retirement security of middle-class Americans, and that those who own annuities have great confidence in their financial future even amidst the recent recession and market downturns.
Annuities Provide Greater Retirement Security for Middle-Class
Source: Insurance News Net
Annuities Provide Greater Retirement Security for Middle-Class
Source: Insurance News Net
Permalink posted by armandn @ 10:48 AM
Long-Term Care Riders Inside an ILIT
In recent years, some insurers have begun to offer long term care insurance (LTCII) coverage in the form of riders to life insurance policies. These riders are often referred to as "living benefit" or "living needs" riders. The LTCI benefits offered under these riders are similar to those found in an LTCI policy. The benefits may be defined as a specific daily amount or as a percentage of the face amount of the policy (up to a specified maximum). Under an "independent" program, the LTCI rider will not affect the policy's death benefit (or cash value), but in an "integrated" program, any LTCI rider benefits paid will result in a reduction of these values.
Long-Term Care Riders Inside an ILIT
Source: Producers Web
Long-Term Care Riders Inside an ILIT
Source: Producers Web
Permalink posted by armandn @ 10:28 AM
New Jersey man to reimburse insurer $12,140 for fraudulent claims
A Passaic County, N.J., man was placed on probation and ordered to pay $12,140 in restitution to Connecticut General Life Insurance Co. for fraudulently using his father’s insurance plan to obtain prescription pain medicine...
IFA Web News: New Jersey man to reimburse insurer $12,140 for fraudulent claims
IFA Web News: New Jersey man to reimburse insurer $12,140 for fraudulent claims
Permalink posted by markw @ 6:34 AM
Retirees at Risk: Whole Life Insurance Cash Values Can Be Overlooked Source of Retirement
Nearly 45 percent of households are "at risk" of not having enough to maintain their living standards in retirement, according to the National Retirement Risk Index*, a special project of the Center for Retirement Research at Boston College. The index goes on to say, "explicitly including health care in the Index drives up the share of households 'at risk' to 61 percent." But some retirees have discovered a source of supplemental income that can help tide them over during rough patches: their whole life insurance policies...
Reuters: Retirees at Risk: Whole Life Insurance Cash Values Can Be Overlooked Source of Retirement
Reuters: Retirees at Risk: Whole Life Insurance Cash Values Can Be Overlooked Source of Retirement
Permalink posted by markw @ 6:32 AM
Baucus, Obama plan will ‘ruin health care and bankrupt the country’
An opinion piece in the The Wall Street Journal did a bang-up job of analyzing the health “reform” proposal put forth by Sen. Max Baucus, and endorsed by President Obama.
Among other things, the piece outlines how the “public-option lite” bill will increase the cost of insurance while forcing all Americans to buy it, and thus setting up subsidies to be paid with higher taxes. Even the best health insurance plans will mirror what a public option would provide, making getting the quality of service that Americans currently enjoy next to impossible. It’s what the Journal calls a “recipe” for disaster, which will “ruin health care and bankrupt the country.”
And according to IFAwebnews.com, insurers who crunched the numbers are also saying that health insurance will ultimately cost more...
IFA Web News: Baucus, Obama plan will ‘ruin health care and bankrupt the country’
Among other things, the piece outlines how the “public-option lite” bill will increase the cost of insurance while forcing all Americans to buy it, and thus setting up subsidies to be paid with higher taxes. Even the best health insurance plans will mirror what a public option would provide, making getting the quality of service that Americans currently enjoy next to impossible. It’s what the Journal calls a “recipe” for disaster, which will “ruin health care and bankrupt the country.”
And according to IFAwebnews.com, insurers who crunched the numbers are also saying that health insurance will ultimately cost more...
IFA Web News: Baucus, Obama plan will ‘ruin health care and bankrupt the country’
Permalink posted by markw @ 6:15 AM
Thursday, September 17, 2009
Manulife to Offer Three New Series of Segregated Funds to Meet Canadians' Investment, Retirement and Estate-Planning
Manulife will launch a new segregated fund platform in early October with three investment series to offer Canadian investors attractive solutions for their accumulation, income and estate planning needs.
Manulife to Offer Three New Series of Segregated Funds to Meet Canadians' Investment, Retirement and Estate-Planning
Source: Yahoo! Finance
Manulife to Offer Three New Series of Segregated Funds to Meet Canadians' Investment, Retirement and Estate-Planning
Source: Yahoo! Finance
Permalink posted by armandn @ 10:58 AM
Many Nurses Need Help With Retirement Planning
Nurses appear to be taking far better care of their patients than they are their financial futures, according to a survey by the Center for American Nurses and the Women's Institute for a Secure Retirement (WISER).
The Nurse Investor Education Survey reveals that nurses may be saving for retirement, but few are planning and investing to meet retirement needs and most say they do not know what their needs will be.
Many Nurses Need Help With Retirement Planning
Source: Retirement Income Journal
The Nurse Investor Education Survey reveals that nurses may be saving for retirement, but few are planning and investing to meet retirement needs and most say they do not know what their needs will be.
Many Nurses Need Help With Retirement Planning
Source: Retirement Income Journal
Permalink posted by armandn @ 10:54 AM
Manulife Financial Confirms and Clarifies Its Commitment to China
In response to local media reports from China that some foreign insurance companies may be planning to scale back operations in the PRC, Manulife Financial today affirmed that it continues to focus its strong operational growth in China through its highly successful Manulife-Sinochem Life Insurance Co. Ltd. partnership, which is currently licensed in 36 cities across 10 provinces in China. The Manulife-Sinochem partnership has more than 11,000 professionally-trained staff and agents serving over 450,000 customers.
Manulife Financial Confirms and Clarifies Its Commitment to China
Source: PR Newswire
Manulife Financial Confirms and Clarifies Its Commitment to China
Source: PR Newswire
Permalink posted by armandn @ 10:33 AM
Worry, but Not Panic
The economic collapse of the last year has left many academic employees worried about how they will afford retirement. But despite evidence of these fears, as documented in a survey by TIAA-CREF, shifts in retirement strategies have been relatively modest. Majorities of those surveyed -- 1,002 academic employees aged 50-70 -- have not changed how much they save for retirement or their asset allocations.
"There was no panic here," said Paul J. Yakoboski, principal research fellow at the TIAA-CREF Institute. "There was a calm, reasoned response..."
Insider Higher Ed: Worry, but Not Panic
"There was no panic here," said Paul J. Yakoboski, principal research fellow at the TIAA-CREF Institute. "There was a calm, reasoned response..."
Insider Higher Ed: Worry, but Not Panic
Permalink posted by markw @ 7:14 AM
Fixed Annuities: Everything Old is New Again
When stocks tumbled at the end of 2008, it made a lot of casual investors gun shy. They discovered that their appetite for risk was lower than they had thought. The market being what it is, there were people ready to make a buck to meet the needs of the newly cautious.
Bill Meyers is feeling a little guilty these days. He runs Meyers Financial in Concord...
NHPR: Fixed Annuities: Everything Old is New Again
Bill Meyers is feeling a little guilty these days. He runs Meyers Financial in Concord...
NHPR: Fixed Annuities: Everything Old is New Again
Permalink posted by markw @ 7:11 AM
West Des Moines OKs loan for insurance company
Midland National is applying for state aid for expansion that would add 86 new jobs, but plans are not yet final... West Des Moines will loan a local insurance company $25,000 as part of an application for $125,000 in state money to help pay for an expansion that promises 86 new jobs over three years.
Midland National Life Insurance Co., 4601 Westown Parkway, plans a $9.6 million expansion, and 25 of the new jobs will qualify as "high-quality" positions under state grant guidelines. That means hourly pay and benefits will exceed $23.22...
Des Moines Register: West Des Moines OKs loan for insurance company
Midland National Life Insurance Co., 4601 Westown Parkway, plans a $9.6 million expansion, and 25 of the new jobs will qualify as "high-quality" positions under state grant guidelines. That means hourly pay and benefits will exceed $23.22...
Des Moines Register: West Des Moines OKs loan for insurance company
Permalink posted by markw @ 7:10 AM
Long-term care annuities get a break
Sales of long-term care annuities, a kind of insurance against long-term care, have been declining this year. But industry watchers expect that trend to reverse in 2010, when new federal rules kick in. Starting next January, no federal income tax will be due on the proceeds of up to two to three times an annuity’s account value if used to pay for long-term care, thanks to the Pension Protection Act of 2006.
“The message in favor of combination plans is simple, and to many buyers more compelling,” says Carl Friedrich, Milliman consulting actuary and principal. “There are potentially significant tax advantages to the pay out of annuity values, including gains in those contracts, as tax-free long-term care benefits, as allowed under the Pension Protection Act of 2006. In addition, people don’t like the idea of paying level premiums into a standalone long-term care insurance policy and never getting money out of the contract if they don’t need long-term care...
Registered Rep: Long-term care annuities get a break
“The message in favor of combination plans is simple, and to many buyers more compelling,” says Carl Friedrich, Milliman consulting actuary and principal. “There are potentially significant tax advantages to the pay out of annuity values, including gains in those contracts, as tax-free long-term care benefits, as allowed under the Pension Protection Act of 2006. In addition, people don’t like the idea of paying level premiums into a standalone long-term care insurance policy and never getting money out of the contract if they don’t need long-term care...
Registered Rep: Long-term care annuities get a break
Permalink posted by markw @ 7:09 AM
Nippon Life to Invest $500 Million in Prudential
Nippon Life Insurance Co., Japan’s biggest life insurer, said it has agreed to invest $500 million in Prudential Financial Inc., the second time it has put capital into the U.S.’s second-largest life insurer...
Bloomberg: Nippon Life to Invest $500 Million in Prudential
Bloomberg: Nippon Life to Invest $500 Million in Prudential
Permalink posted by markw @ 7:06 AM
Fla. Insurance Chief: Rate Increases May Be Needed
Companies offering hurricane and other property insurance coverage may need to raise rates because they're losing money, even though Florida hasn't had any serious storms in the past couple years, the state insurance commissioner said Tuesday.
Commissioner Kevin McCarty told Gov. Charlie Crist and Florida Cabinet members, who oversee his office, that 84 companies writing policies in the state had underwriting gains in the first six months of the year compared with 102 that had losses...
NY Times: Fla. Insurance Chief: Rate Increases May Be Needed
Commissioner Kevin McCarty told Gov. Charlie Crist and Florida Cabinet members, who oversee his office, that 84 companies writing policies in the state had underwriting gains in the first six months of the year compared with 102 that had losses...
NY Times: Fla. Insurance Chief: Rate Increases May Be Needed
Permalink posted by markw @ 7:05 AM
Ohio Insurance Institute Looks Back At Ike
For some Ohioans, the memory of Hurricane Ike is only surpassed by the damage it caused last September 14 as it made its way across the Buckeye State packing winds at speeds equal to a Category 1 hurricane (up to 74 mph).
Strong winds moved diagonally across the state from southwest to northeast over a four-hour period that Sunday afternoon, according to Ohio EMA reports. Losses compiled by insurance companies and state government mounted over time, capping Ohio’s largest natural disaster in recent history - the Xenia tornado of 1974.
According to Property Claim Services (PCS), which provides property loss and catastrophe information for the property/casualty insurance industry, Ohio’s insured losses from Hurricane Ike are now estimated at $1.255 billion. The Ohio and Federal Emergency Management Agencies project local government costs for protection and clean up at an additional $38.6 million...
WHIO TV: Ohio Insurance Institute Looks Back At Ike
Strong winds moved diagonally across the state from southwest to northeast over a four-hour period that Sunday afternoon, according to Ohio EMA reports. Losses compiled by insurance companies and state government mounted over time, capping Ohio’s largest natural disaster in recent history - the Xenia tornado of 1974.
According to Property Claim Services (PCS), which provides property loss and catastrophe information for the property/casualty insurance industry, Ohio’s insured losses from Hurricane Ike are now estimated at $1.255 billion. The Ohio and Federal Emergency Management Agencies project local government costs for protection and clean up at an additional $38.6 million...
WHIO TV: Ohio Insurance Institute Looks Back At Ike
Permalink posted by markw @ 6:51 AM
Wednesday, September 16, 2009
Death and Taxes: Are These Two Certainties a Good Place to Invest as the Boomer Generation Ages?
The Wall Street Transcript has just published its Funeral Services and Tax Preparation Report offering a timely review of the sector to serious investors and industry executives. This 57 page feature contains expert industry commentary through in-depth interviews with public company CEOs, Equity Analysts and Money Managers.
Death and Taxes: Are These Two Certainties a Good Place to Invest as the Boomer Generation Ages?
Source: Yahoo! Finance
Death and Taxes: Are These Two Certainties a Good Place to Invest as the Boomer Generation Ages?
Source: Yahoo! Finance
Permalink posted by armandn @ 7:18 AM
Marketing to Baby Boomers -- Embracing Demographic Change
For many financial services professionals focusing on the retirement market, the baby boomers provide both the greatest challenge and the greatest opportunity we'll face in our careers. Some advisors are even in denial, claiming to "only work with seniors." The fact of the matter is, the first of the boomer generation is turning 62 years old this year. Jack Marion recently did a study claiming that the average age of an indexed annuity buyer is, you guessed it, age 62.
Marketing to Baby Boomers -- Embracing Demographic Change
Source: Producers Web
Marketing to Baby Boomers -- Embracing Demographic Change
Source: Producers Web
Permalink posted by armandn @ 7:16 AM
Survey Ranks Variable Annuity Websites for Advisors
AXA Distributors, John Hancock, Lincoln Financial, Pacific Life, and SunAmerica topped the list of the best variable-annuity websites for advisors in a new survey by New York consultant, Kasina.
“All of these sites did a really good job of servicing advisors’ books, showing how contracts are set up, plus information on holdings, performance and transactions,” says Mike McLaughlin, a senior managing consultant at Kasina.
Survey Ranks Variable Annuity Websites for Advisors
Sources: Financial-Planning
“All of these sites did a really good job of servicing advisors’ books, showing how contracts are set up, plus information on holdings, performance and transactions,” says Mike McLaughlin, a senior managing consultant at Kasina.
Survey Ranks Variable Annuity Websites for Advisors
Sources: Financial-Planning
Permalink posted by armandn @ 7:14 AM
Guardian Selected as Strategic Partner for LPL Financial's Retirement Plus Program
...Guardian Retirement Solutions was selected as a partner by the new Retirement Plan Consulting Group at LPL Financial, the nation's largest independent broker-dealer, following extensive research, internal reviews and requests for proposals from a broad spectrum of product sponsors. The selection follows a major transformation within Guardian's Retirement Solutions Business, which included several new additions to the senior management team, an enhanced product portfolio, and the vast expansion of the national sales force headed by Dale Magner, Vice President...
Reuters: Guardian Selected as Strategic Partner for LPL Financial's Retirement Plus Program
Reuters: Guardian Selected as Strategic Partner for LPL Financial's Retirement Plus Program
Permalink posted by markw @ 5:59 AM
MetLife Looks for Deals Overseas
MetLife’s chief financial officer, William Wheeler, sees opportunities for deals coming out of the recession. He said Tuesday that MetLife, the largest American life insurance company, was better positioned to acquire businesses outside the United States after the financial crisis cut into other insurers’ ability to make competing bids.
“I like our chances — we’ve come through this crisis pretty well,” Mr. Wheeler said at the Barclays Global Financial Services Conference in New York, according to Bloomberg News. “Our ability to pursue meaningful international mergers and acquisitions opportunities is there, and I’m not sure there are many others who are in that situation...”
NY Times: MetLife Looks for Deals Overseas
“I like our chances — we’ve come through this crisis pretty well,” Mr. Wheeler said at the Barclays Global Financial Services Conference in New York, according to Bloomberg News. “Our ability to pursue meaningful international mergers and acquisitions opportunities is there, and I’m not sure there are many others who are in that situation...”
NY Times: MetLife Looks for Deals Overseas
Permalink posted by markw @ 5:58 AM
Major Life Insurance Distributors Demonstrate Commitment to Growth
E-Z Data, a top provider of customer relationship management (CRM) and practice mnagement solutions for the financial services industry, announced that nearly 100 industry professionals attended its annual Client Partner Conference for Brokerage General Agencies (BGAs) on September 13-15, 2009. Attendees included principals, office managers, and case managers from leading Brokerage General Agencies, top producers, and strategic integration partners. The event, held in St. Louis, focused on exchanging best practices and featured speakers from top insurance brokerage organizations, third-party solution providers, and E-Z Data`s BGA Services team...
Created for Brokerage General Agency principals and staff who use SmartOffice to process life insurance and annuity business, the conference is designed to give these clients a unique opportunity to network with their peers...
Reuters: Major Life Insurance Distributors Demonstrate Commitment to Growth
Created for Brokerage General Agency principals and staff who use SmartOffice to process life insurance and annuity business, the conference is designed to give these clients a unique opportunity to network with their peers...
Reuters: Major Life Insurance Distributors Demonstrate Commitment to Growth
Permalink posted by markw @ 5:57 AM
Fidelity plans to waive commissions on new RIA assets, cut tech fees
Pricing war erupts in market share battle with rival Schwab - Fidelity Investments, responding to The Charles Schwab Corp.'s June announcement of price reductions for independent advisers and their clients, is rolling out a competing program with a few extra twists.
As of Oct. 1, Fidelity will eliminate online commissions on equity and option trades for new accounts introduced by registered investment advisers and reimburse account transfer fees that clients pay to leave their former financial services providers...
Investment News: Fidelity plans to waive commissions on new RIA assets, cut tech fees
As of Oct. 1, Fidelity will eliminate online commissions on equity and option trades for new accounts introduced by registered investment advisers and reimburse account transfer fees that clients pay to leave their former financial services providers...
Investment News: Fidelity plans to waive commissions on new RIA assets, cut tech fees
Permalink posted by markw @ 5:31 AM
Citi shares down on concerns of US government sale
Citigroup Inc (C.N) shares closed down almost 9 percent on Tuesday after reports the government might begin shedding its stake in the New York-based bank... Citigroup, eager to escape the burden of a significant government ownership stake, is in talks with U.S. officials about selling part of the government's 7.7 billion shares in the bank, sources familiar with the situation said.
The bank, which on Tuesday sold $5 billion in debt backed by the Federal Deposit Insurance Corp, may also look to sell about $5 billion of new stock to partially repay other Citi securities owned by the government, sources said...
Reuters: Citi shares down on concerns of US government sale
The bank, which on Tuesday sold $5 billion in debt backed by the Federal Deposit Insurance Corp, may also look to sell about $5 billion of new stock to partially repay other Citi securities owned by the government, sources said...
Reuters: Citi shares down on concerns of US government sale
Permalink posted by markw @ 5:27 AM
Genworth Raises $564 Million, Prices Stock at $11.75 a Share
Genworth Financial Inc., the life insurer and mortgage guarantor, raised about $564 million in a stock sale, more than planned, after selling 48 million shares... The stock sold for $11.75 a share, according to a company statement issued yesterday. The Richmond, Virginia-based insurer had announced plans to raise $500 million.
Genworth is seeking to build capital after reporting five straight quarterly losses. Mortgage insurers, which pay lenders when homeowners default and when foreclosure doesn’t recoup costs, have faced pressure as defaults climb. The insurer raised C$850 million ($793 million) in June by selling a stake in a Canadian unit. The company said in December it had cut 1,000 jobs, or 14 percent of its workforce, and canceled the dividend in November...
Bloomberg: Genworth Raises $564 Million, Prices Stock at $11.75 a Share
Genworth is seeking to build capital after reporting five straight quarterly losses. Mortgage insurers, which pay lenders when homeowners default and when foreclosure doesn’t recoup costs, have faced pressure as defaults climb. The insurer raised C$850 million ($793 million) in June by selling a stake in a Canadian unit. The company said in December it had cut 1,000 jobs, or 14 percent of its workforce, and canceled the dividend in November...
Bloomberg: Genworth Raises $564 Million, Prices Stock at $11.75 a Share
Permalink posted by markw @ 5:24 AM
SEC Will Examine Insurer Settlements
The Securities and Exchange Commission has set up an agencywide task force to examine a financial product in which people collect cash for selling their existing life-insurance contracts.
The product, known as a life-insurance settlement, has come under greater scrutiny following the financial crisis. In recent months, Wall Street firms have begun securitizing the products by slicing them up and selling bundled pieces to investors...
WSJ: SEC Will Examine Insurer Settlements (Subscription required)
The product, known as a life-insurance settlement, has come under greater scrutiny following the financial crisis. In recent months, Wall Street firms have begun securitizing the products by slicing them up and selling bundled pieces to investors...
WSJ: SEC Will Examine Insurer Settlements (Subscription required)
Permalink posted by markw @ 4:51 AM
Obama administration: Cap and trade could cost families $1,761 a year
The Obama administration has privately concluded that a cap and trade law would cost American taxpayers up to $200 billion a year, the equivalent of hiking personal income taxes by about 15 percent.
A previously unreleased analysis prepared by the U.S. Department of Treasury says the total in new taxes would be between $100 billion to $200 billion a year. At the upper end of the administration's estimate, the cost per American household would be an extra $1,761 a year...
CNet: Obama administration: Cap and trade could cost families $1,761 a year
A previously unreleased analysis prepared by the U.S. Department of Treasury says the total in new taxes would be between $100 billion to $200 billion a year. At the upper end of the administration's estimate, the cost per American household would be an extra $1,761 a year...
CNet: Obama administration: Cap and trade could cost families $1,761 a year
Permalink posted by markw @ 4:50 AM
'We Need New Banks'
In a SPIEGEL interview, Harvard historian Niall Ferguson discusses the turbulent history of money, the inevitability of financial crises and the fatal influence mathematicians have on the monetary system.
SPIEGEL: Professor Ferguson, can you show us the contents of your wallet?
Ferguson: If you like, sure. Have a look. I have about a hundred dollars on me.
SPIEGEL: Why do people consider such green-printed pieces of paper to be so valuable?
Ferguson: These pieces of paper are also promissory notes. Four thousand years ago in ancient Babylon, clay tablets fulfilled this role. Nowadays we use banknotes. They are only worth what other people are willing to give you in exchange for them. Money is about trust, no matter what form it takes, be it clay, gold, paper, or a computer monitor with a liquid crystal display...
Spiegel: 'We Need New Banks'
SPIEGEL: Professor Ferguson, can you show us the contents of your wallet?
Ferguson: If you like, sure. Have a look. I have about a hundred dollars on me.
SPIEGEL: Why do people consider such green-printed pieces of paper to be so valuable?
Ferguson: These pieces of paper are also promissory notes. Four thousand years ago in ancient Babylon, clay tablets fulfilled this role. Nowadays we use banknotes. They are only worth what other people are willing to give you in exchange for them. Money is about trust, no matter what form it takes, be it clay, gold, paper, or a computer monitor with a liquid crystal display...
Spiegel: 'We Need New Banks'
Permalink posted by markw @ 4:38 AM
Tuesday, September 15, 2009
Life Insurance Is Not Only for Older, Married Individuals
Utilizing the benefits of a life insurance policy can help you to make sure your loved ones are financially secure should something happen to you. Many people hate to have to think of life insurance. It is not an exciting topic and most think they have plenty of time to ensure the future of their dependents. This is not always the case. Anything can happen at any time and this is one reason why the life insurance is so valuable. It helps to take some of the financial risk out of the unexpected.
Life Insurance Is Not Only for Older, Married Individuals
Source: Best Syndication
Life Insurance Is Not Only for Older, Married Individuals
Source: Best Syndication
Permalink posted by armandn @ 7:56 AM
AIG May Not Attract Buyers to SunAmerica U.S. Variable Annuity Business
American International Group Inc. offers some "living-benefit" guarantees to policyholders on stock-market linked variable annuities, but the insurer may not easily attract buyers to its SunAmerica businesses if it puts them up for sale. The industry is moving away from these guarantees as they've become too costly for companies to offer, an expert said.
AIG May Not Attract Buyers to SunAmerica U.S. Variable Annuity Business
Source: Trading Markets
AIG May Not Attract Buyers to SunAmerica U.S. Variable Annuity Business
Source: Trading Markets
Permalink posted by armandn @ 7:55 AM
AXA Equitable Enhances Variable Universal Life Insurance Coverage
AXA Equitable Life Insurance Company and its affiliate MONY Life Insurance Company of America (MLOA) introduced today, in states where approved, a revamped edition of the flagship Incentive Life(R) Legacy (IL Legacy(R)) Series of variable universal life insurance. Today's IL Legacy II is a highly competitive variable life insurance product offering investment growth potential with access to a variety of risk mitigation strategies, long-term lapse protection, a chronic illness funding option and the ability to leave a charitable legacy.
AXA Equitable Enhances Variable Universal Life Insurance Coverage
Source: Reuters
AXA Equitable Enhances Variable Universal Life Insurance Coverage
Source: Reuters
Permalink posted by armandn @ 7:54 AM
Hartford Unit Built for Cross-Selling Lift
Hartford Financial Services Group Inc. is hoping a team-oriented approach can boost sales, but its effort to align its sales force is a bit too late to be considered innovative.
The Simsbury, Conn., company announced last week it combined sales and distribution for its investment and retirement products into a unit called Hartford Life Distributors. It combines the internal and external sales units, marketing and sales support teams, strategic relationship management groups and business development areas that support Hartford's mutual funds, annuities, 401(k) retirement plans and 529 college savings program.
Hartford Unit Built for Cross-Selling Lift
Source: Financial Planning
The Simsbury, Conn., company announced last week it combined sales and distribution for its investment and retirement products into a unit called Hartford Life Distributors. It combines the internal and external sales units, marketing and sales support teams, strategic relationship management groups and business development areas that support Hartford's mutual funds, annuities, 401(k) retirement plans and 529 college savings program.
Hartford Unit Built for Cross-Selling Lift
Source: Financial Planning
Permalink posted by armandn @ 7:45 AM
Investor ‘Risk-Seeking Mission’ Courts Failure: Chart of Day
U.S. investors are on “an incredible risk-seeking mission” that belies a still-shaky economy and financial system, according to Gina Martin Adams, a strategist at Wells Fargo Securities LLC.
The CHART OF THE DAY shows the Ted spread, a widely followed risk indicator, dropped last week to its lowest level since 2004. This gauge tracks the difference between rates that banks and the U.S. Treasury pay to borrow for three months. A narrower spread reflects greater confidence in U.S. assets...
Bloomberg: Investor ‘Risk-Seeking Mission’ Courts Failure: Chart of Day
The CHART OF THE DAY shows the Ted spread, a widely followed risk indicator, dropped last week to its lowest level since 2004. This gauge tracks the difference between rates that banks and the U.S. Treasury pay to borrow for three months. A narrower spread reflects greater confidence in U.S. assets...
Bloomberg: Investor ‘Risk-Seeking Mission’ Courts Failure: Chart of Day
Permalink posted by markw @ 5:22 AM
Allianz Profits From Hartford Warrants After Rally
Allianz SE, the insurer that pumped $2.5 billion into Hartford Financial Services Group Inc., is in the money on its warrants after the Connecticut-based firm got a U.S. rescue and reversed a stock swoon by surging sevenfold...
Bloomberg: Allianz Profits From Hartford Warrants After Rally
Bloomberg: Allianz Profits From Hartford Warrants After Rally
Permalink posted by markw @ 5:14 AM
Settlement executives comment on Times article
Focus is on securitizing life policies - A New York Times article comparing the bundling of life insurance policies to the packaging of mortgage-backed securities is generating quite a bit of notice in the life settlement industry.
The article in the September 6, 2009 Times reports that investment banks such as Credit Suisse Group bundle life insurance policies into bond-like investments in an effort to spread risk and attract institutional buyers and other investors...
National Underwriter: Settlement executives comment on Times article
The article in the September 6, 2009 Times reports that investment banks such as Credit Suisse Group bundle life insurance policies into bond-like investments in an effort to spread risk and attract institutional buyers and other investors...
National Underwriter: Settlement executives comment on Times article
Permalink posted by markw @ 5:13 AM
Variable-annuity Web sites are ranked in survey
New York consultant Kasina has produced a ranking for financial advisors of the best variable-annuity Web sites. The ranking, based on surveys, selected sites that "did a really good job of servicing advisors' books, showing how contracts are set up, plus information on holdings, performance and transactions," said Mike McLaughlin, a senior managing consultant at Kasina. AXA Distributors, John Hancock, Lincoln Financial, Pacific Life and SunAmerica topped the list...
SmartBrief: Variable-annuity Web sites are ranked in survey
SmartBrief: Variable-annuity Web sites are ranked in survey
Permalink posted by markw @ 5:11 AM
S&P Launches New Securities Lending Indices
Continuing to bring additional transparency to the financial marketplace, Standard & Poor's Index Services announced today that it has launched the first ever public index series designed to measure the average cost of borrowing U.S. equities. The S&P Securities Lending Index Series seeks to reflect the average securities lending rate for the constituents of the S&P 500, S&P MidCap 400, S&P SmallCap 600, and the underlying GICS(1) sector sub-indices for all three leading U.S. equity benchmarks...
Reuters: S&P Launches New Securities Lending Indices
Reuters: S&P Launches New Securities Lending Indices
Permalink posted by markw @ 5:06 AM
Challenger has best ever month in annuities
Retirees seek three to five year terms - Immense stock market volatility has driven retirees to buy annuities, helping Challenger experience record sales in August... Challenger Financial Services Group sold a record $90 million-plus of annuities in August as retirees sought stable income amid stock and bond market volatility.
"Clients want certainty and simplicity and are attracted by the high return, low-fee proposition that annuities represent," Challenger general manager of distribution Matt Gaden said...
Investor Daily Australia: Challenger has best ever month in annuities
"Clients want certainty and simplicity and are attracted by the high return, low-fee proposition that annuities represent," Challenger general manager of distribution Matt Gaden said...
Investor Daily Australia: Challenger has best ever month in annuities
Permalink posted by markw @ 5:04 AM
Monday, September 14, 2009
Stiglitz Says Banking Problems Are Now Bigger Than Pre-Lehman
Joseph Stiglitz, the Nobel Prize- winning economist, said the U.S. has failed to fix the underlying problems of its banking system after the credit crunch and the collapse of Lehman Brothers Holdings Inc.
“In the U.S. and many other countries, the too-big-to-fail banks have become even bigger,” Stiglitz said in an interview today in Paris. “The problems are worse than they were in 2007 before the crisis...”
Bloomberg: Stiglitz Says Banking Problems Are Now Bigger Than Pre-Lehman
“In the U.S. and many other countries, the too-big-to-fail banks have become even bigger,” Stiglitz said in an interview today in Paris. “The problems are worse than they were in 2007 before the crisis...”
Bloomberg: Stiglitz Says Banking Problems Are Now Bigger Than Pre-Lehman
Permalink posted by markw @ 10:02 AM
The AMAZING Wells Fargo Party House
Now after seeing pictures (via Calculated Risk) of the foreclosed Malibu mansion where a Wells Fargo executive partied up, we can totally see why they did it.
Seriously, take a tour and try telling us you wouldn't have done the same thing...
Insider: The AMAZING Wells Fargo Party House
Seriously, take a tour and try telling us you wouldn't have done the same thing...Insider: The AMAZING Wells Fargo Party House
Permalink posted by markw @ 9:59 AM
Shadow Inventory Revisited: Southern California REO, and the Great Public Swindle
I dug deep into the shadow inventory data again and it is simply growing. But in a variety of ways. First, many banks are simply not moving on homes. That is, you can stop making your payments and depending on which incompetent bank you may have, you probably have a fifty-fifty chance that you will have no notice of default for 6 to 9 months. The foreclosure process now takes 18 months to 2 years. And for those properties that are taken back, some banks are going with rent to own options. Or in other properties, banks are merely using them for Romanesque blowout parties. But the most common option is doing absolutely nothing. First, let us show you how absurd things are getting in Southern California...
Dr. Housing Bubble: Shadow Inventory Revisited: Southern California REO, and the Great Public Swindle
Dr. Housing Bubble: Shadow Inventory Revisited: Southern California REO, and the Great Public Swindle
Permalink posted by markw @ 9:54 AM
Income Planning is Not Easy
Planning for income for the rest of someone's life is not to be taken lightly. As many advisors have experienced, this exercise is wrought with issues and pitfalls, including (but not limited to) qualified vs. nonqualified funds, 401(k)s, IRAs and Roth IRAs, tax law, withdrawal platform vs. annuitization, income benefit riders, senior health issues, etc.
Income Planning is Not Easy
Source: Producers Web
Income Planning is Not Easy
Source: Producers Web
Permalink posted by armandn @ 7:39 AM
Should You Work In Retirement?
Thinking of working a bit longer and delaying your retirement? Mind the pitfalls. True, postponing retirement can have its advantages -- you can delay tapping your 401(k) nest egg and may even add to it while you're working. But you can run into problems if you begin collecting Social Security checks or taking withdrawals from some tax-deferred retirement plans while you earn a paycheck.
Generally speaking, overstaying your welcome at work could have some serious health care, Social Security and pension ramifications. Consider these four factors before signing on for another year.
Should You Work In Retirement?
Source: Yahoo! Finance
Generally speaking, overstaying your welcome at work could have some serious health care, Social Security and pension ramifications. Consider these four factors before signing on for another year.
Should You Work In Retirement?
Source: Yahoo! Finance
Permalink posted by armandn @ 7:38 AM
Innovative Two-Stage Income Annuity Proposed
Hartford-based PHL Variable Insurance Company has filed a prospectus with the Securities & Exchange Commission for an income annuity that delivers income in two stages: a variable income in “early retirement” and a fixed income in “late retirement.”
Innovative Two-Stage Income Annuity Proposed
Source: Retirement Income Journal
Innovative Two-Stage Income Annuity Proposed
Source: Retirement Income Journal
Permalink posted by armandn @ 7:36 AM
AIG Pondering New Plan to Repay Tax Payers
The new boss isn't turning out to be the same as the old boss. Where former American International Group Inc. CEO Edward Liddy initially planned to swiftly liquidate many of the company's subsidiaries in an effort to repay its $80 billion in government loans, new chief Robert Benmosche seems to have a different strategy in mind.
AIG Pondering New Plan to Repay Tax Payers
Source: Financial-Planning
AIG Pondering New Plan to Repay Tax Payers
Source: Financial-Planning
Permalink posted by armandn @ 7:35 AM
US tyre duties spark China clash
A full-blown trade row erupted between the US and China after Beijing accused Washington of “rampant protectionism” for imposing heavy duties on imported Chinese tyres and threatened action against imports of US poultry and vehicles.
Trade relations between two of the world’s biggest economies deteriorated after Barack Obama, US president, signed an order late on Friday to impose a new duty of 35 per cent on Chinese tyre imports on top of an existing 4 per cent tariff...
FT: US tyre duties spark China clash
Trade relations between two of the world’s biggest economies deteriorated after Barack Obama, US president, signed an order late on Friday to impose a new duty of 35 per cent on Chinese tyre imports on top of an existing 4 per cent tariff...
FT: US tyre duties spark China clash
Permalink posted by markw @ 5:36 AM
Insurers' Ratings Weigh Heavily On Advisers
A year after the onset of the financial crisis, advisers remain wary of insurers' financial health when recommending products, according to the InvestmentNews 2009 Insurance Product Survey.
This year, 58.6% of the 953 advisers surveyed indicated that an insurer's financial rating was the most important factor they considered when recommending life insurance to clients. That's up from the 47.0% who cited it in 2008.
The product's price ranked No. 2 as a consideration and was cited by 46.6% of respondents, compared with 41.2% last year...
Investment News: Insurers' Ratings Weigh Heavily On Advisers
This year, 58.6% of the 953 advisers surveyed indicated that an insurer's financial rating was the most important factor they considered when recommending life insurance to clients. That's up from the 47.0% who cited it in 2008.
The product's price ranked No. 2 as a consideration and was cited by 46.6% of respondents, compared with 41.2% last year...
Investment News: Insurers' Ratings Weigh Heavily On Advisers
Permalink posted by markw @ 5:23 AM
China Probes ‘Unfair Trade’ in U.S. Chicken and Auto Products
China announced dumping and subsidy probes of chicken and auto products from the U.S., two days after President Barack Obama imposed tariffs on tires from the Asian nation.
Chinese industries complain that they’re being hurt by “unfair trade practices,” the nation’s Ministry of Commerce said on its Web site yesterday. The dumping investigation relates to poultry alone, a spokesman said in Beijing today. The ministry didn’t specify the value of imports of the products.
Rising protectionism may hamper world trade and undermine the global economy’s recovery from recession, the European Central Bank said last week. The U.S. placed tariffs starting at 35 percent on $1.8 billion of tire imports from China, backing a United Steelworkers union complaint against the second-largest U.S. trading partner...
Bloomberg: China Probes ‘Unfair Trade’ in U.S. Chicken and Auto Products
Chinese industries complain that they’re being hurt by “unfair trade practices,” the nation’s Ministry of Commerce said on its Web site yesterday. The dumping investigation relates to poultry alone, a spokesman said in Beijing today. The ministry didn’t specify the value of imports of the products.
Rising protectionism may hamper world trade and undermine the global economy’s recovery from recession, the European Central Bank said last week. The U.S. placed tariffs starting at 35 percent on $1.8 billion of tire imports from China, backing a United Steelworkers union complaint against the second-largest U.S. trading partner...
Bloomberg: China Probes ‘Unfair Trade’ in U.S. Chicken and Auto Products
Permalink posted by markw @ 5:07 AM
Widow, 80, Comes Up Cold In Life Insurance Dispute
The Meli family once ran a Flint warehouse that kept perishable goods from spoiling. Now it seems their money -- nearly $200,000 -- is stuck in storage.
The state of Michigan is refusing to give the cash to 80-year-old Pauline Meli of Traverse City, who claims it comes from an insurance policy that belonged to Flint Cold Storage...
WSB TV: Widow, 80, Comes Up Cold In Life Insurance Dispute
The state of Michigan is refusing to give the cash to 80-year-old Pauline Meli of Traverse City, who claims it comes from an insurance policy that belonged to Flint Cold Storage...
WSB TV: Widow, 80, Comes Up Cold In Life Insurance Dispute
Permalink posted by markw @ 4:53 AM
Hurdles ahead for VA industry
Lead advocate sees tougher regulation - and still wary advisers
The variable annuity industry is slowly recovering from last year's lumps, but Cathy Weatherford, president and chief executive of the Insured Retirement Institute, an industry trade group, foresees a new set of hurdles ahead as carriers contend with jaded advisers and tougher regulation on insurance sales...
Investment News: Hurdles ahead for VA industry
The variable annuity industry is slowly recovering from last year's lumps, but Cathy Weatherford, president and chief executive of the Insured Retirement Institute, an industry trade group, foresees a new set of hurdles ahead as carriers contend with jaded advisers and tougher regulation on insurance sales...
Investment News: Hurdles ahead for VA industry
Permalink posted by markw @ 4:48 AM
Treasury and Labor departments angling for ‘automatic annuities’ in 401(k) plans
A movement gaining steam would remove hurdles for employers who want to enroll 401(k) participants in lifetime-income vehicles automatically
The Department of the Treasury and the Department of Labor will soon be taking steps to make it easier for companies to offer “automatic annuities” in 401(k) plans, Treasury senior adviser Mark Iwry said today...
Investment News: Treasury and Labor departments angling for ‘automatic annuities’ in 401(k) plans
The Department of the Treasury and the Department of Labor will soon be taking steps to make it easier for companies to offer “automatic annuities” in 401(k) plans, Treasury senior adviser Mark Iwry said today...
Investment News: Treasury and Labor departments angling for ‘automatic annuities’ in 401(k) plans
Permalink posted by markw @ 4:47 AM
Internal Emails Come Back To Bite UBS In Court
It's the emails again!
On day one of employee training, right after new hires are handed their tax forms and shown the coffee room, HR should begin hammering home a very important lesson: don't put anything in an email you don't want blown up to 80 point font in a courtroom. Or printed in The Wall Street Journal...
Insider: Internal Emails Come Back To Bite UBS In Court
On day one of employee training, right after new hires are handed their tax forms and shown the coffee room, HR should begin hammering home a very important lesson: don't put anything in an email you don't want blown up to 80 point font in a courtroom. Or printed in The Wall Street Journal...
Insider: Internal Emails Come Back To Bite UBS In Court
Permalink posted by markw @ 4:47 AM
Mad as hell at the media: Indexed-annuity crusader
Sheryl J. Moore is mad as hell at the media, and she's not going to take it anymore.
Frustration with the coverage of indexed annuities has spurred Ms. Moore, president and chief executive of Advantage Group Associates Inc., an indexed-annuities research firm, to begin a campaign to call out reporters who produce what she said are inaccurate stories about the products...
Investment News: Indexed-annuity crusader
Frustration with the coverage of indexed annuities has spurred Ms. Moore, president and chief executive of Advantage Group Associates Inc., an indexed-annuities research firm, to begin a campaign to call out reporters who produce what she said are inaccurate stories about the products...
Investment News: Indexed-annuity crusader
Permalink posted by markw @ 4:45 AM
Compare annuities before replacing them
A replacement may get started in your mailbox. You receive an invitation to attend a luncheon seminar on annuities sponsored by a local investment or insurance firm. You already have an annuity from the proceeds from your previous job's 401(k). You were impressed with the seminar presentation. You may then be solicited by the event sponsor's representative to surrender your current annuity for a new annuity that was presented at the seminar.
Senior citizens are often targeted by these offers with free meals because they may already possess an annuity or have other retirement funds. There are lucrative commissions for agents/brokers, as well...
Record Online: Compare annuities before replacing them
Senior citizens are often targeted by these offers with free meals because they may already possess an annuity or have other retirement funds. There are lucrative commissions for agents/brokers, as well...
Record Online: Compare annuities before replacing them
Permalink posted by markw @ 4:32 AM
Friday, September 11, 2009
Rating Agencies "Under Siege": Einhorn Right to Be Short, Rosner Says
On Oct. 22, 2008, the House Committee on Government Oversight and Reform held a hearing entitled: "Credit Rating Agencies and the Financial Crisis."
At the time, there was a lot of talk about restructuring the industry and possible ramifications for the triple-A ratings placed on subprime securities that later turned out to be junk (at best). But as with the effort to re-regulate Wall Street as a whole, the focus on rating agencies dimmed in subsequent months...
Yahoo! Finance: Rating Agencies "Under Siege": Einhorn Right to Be Short, Rosner Says
At the time, there was a lot of talk about restructuring the industry and possible ramifications for the triple-A ratings placed on subprime securities that later turned out to be junk (at best). But as with the effort to re-regulate Wall Street as a whole, the focus on rating agencies dimmed in subsequent months...
Yahoo! Finance: Rating Agencies "Under Siege": Einhorn Right to Be Short, Rosner Says
Permalink posted by markw @ 10:42 AM
Study Supports a Strategy of Combining Income Annuities with Mutual Funds in Retirement
In a new research paper, a former U.S. Treasury official and a former World Bank economist suggest that a blend of mutual funds and income annuities is the best way to manage wealth and provide income in retirement.
Mark J. Warshawsky and Gaobo Pang put six payout methods through thousands of Monte Carlo simulations. Their findings show that, in terms of generating income and leaving a legacy, it makes sense to annuitize 25% of one's savings at retirement.
Study Supports a Strategy of Combining Income Annuities with Mutual Funds in Retirement
Source: Retirement Income Journal
Mark J. Warshawsky and Gaobo Pang put six payout methods through thousands of Monte Carlo simulations. Their findings show that, in terms of generating income and leaving a legacy, it makes sense to annuitize 25% of one's savings at retirement.
Study Supports a Strategy of Combining Income Annuities with Mutual Funds in Retirement
Source: Retirement Income Journal
Permalink posted by armandn @ 7:22 AM
Income Fell Sharply Last Year
Americans' household income last year took the sharpest drop since the government began keeping records in 1947, the Census Bureau reported Thursday.
Median household income sank 3.6% to $50,303, after adjusting for inflation, during the first full year of the recession.
Income Fell Sharply Last Year
Source: USA Today
Median household income sank 3.6% to $50,303, after adjusting for inflation, during the first full year of the recession.
Income Fell Sharply Last Year
Source: USA Today
Permalink posted by armandn @ 7:22 AM
Aviva's EIUL vs. Revolutionary Life for College Planning
Aviva recently put on a Webinar on college planning that wasn't bad. The speaker explained one of the few situations where using cash-value life insurance (CVL) actually works for college planning.
Aviva's EIUL vs Revolutionary Life for College Planning
Source: Producers Web
Aviva's EIUL vs Revolutionary Life for College Planning
Source: Producers Web
Permalink posted by armandn @ 7:21 AM
Beyond Demographics: Aligning Your Values with Senior Clients
Josh Waitzkin, who holds several World Champion chess and Tai Chi Chuan titles, has said, “A key ingredient to my success in those years (his youth) was that my style on the chessboard was a direct expression of my personality.”
What does that have to do with selling to seniors? It can help you decide whether or not seniors represent a “world-class” market for you. Sure, seniors can be a viable market for anyone, but does your personality fit them and their needs? While that may seem like a fairly straightforward question, there are many hidden implications to address in making that determination.
Beyond Demographics: Aligning Your Values with Senior Clients
Source: Life Insurance Selling
What does that have to do with selling to seniors? It can help you decide whether or not seniors represent a “world-class” market for you. Sure, seniors can be a viable market for anyone, but does your personality fit them and their needs? While that may seem like a fairly straightforward question, there are many hidden implications to address in making that determination.
Beyond Demographics: Aligning Your Values with Senior Clients
Source: Life Insurance Selling
Permalink posted by armandn @ 7:20 AM
Alico policyholders' data leaked by insiders, not hacked from outside
Insurer Alico Japan has compiled a report that says its customers' credit card data appears to have been leaked from the inside, rather than being stolen by outside hackers, sources familiar with the matter said Friday.
The Japanese arm of American International Group Inc. (NYSE:AIG) will announce the findings of its two-month-long in-house probe at a news conference later Friday, the sources said...
iStockAnalyst: Alico policyholders' data leaked by insiders, not hacked from outside
The Japanese arm of American International Group Inc. (NYSE:AIG) will announce the findings of its two-month-long in-house probe at a news conference later Friday, the sources said...
iStockAnalyst: Alico policyholders' data leaked by insiders, not hacked from outside
Permalink posted by markw @ 5:37 AM
Internal Emails Come Back To Bite UBS In Court
...A Connecticut state court judge ordered UBS to set aside $35.5 million to fund a potential judgment in a case where hedge fund Pursuit Partners LLC alleges UBS sold it investment-grade debt securities in 2007 that UBS knew would soon be downgraded.
In the judge's memorandum explaining his decision to have UBS set aside the funds, he quoted emails from UBS telling its employees to, "reduce cdos...no need to publicly display this, but if you are close on something, [please] close it...[thanks] for your discretion." A UBS banker later wrote that he had "sold more crap" to Pursuit...
Business Insider: Internal Emails Come Back To Bite UBS In Court
In the judge's memorandum explaining his decision to have UBS set aside the funds, he quoted emails from UBS telling its employees to, "reduce cdos...no need to publicly display this, but if you are close on something, [please] close it...[thanks] for your discretion." A UBS banker later wrote that he had "sold more crap" to Pursuit...
Business Insider: Internal Emails Come Back To Bite UBS In Court
Permalink posted by markw @ 5:37 AM
Investment fraud suit grows more complex
The lawsuit, now unsealed, has a 146-page complaint amendment with 57 plaintiffs and three additional defendants.
A federal lawsuit filed in July described a group of Twin Cities business entities that had been pitching a controversial foreign currency investment as "confusingly intertwined." That appears to be an understatement...
Star-Tribune: Investment fraud suit grows more complex
A federal lawsuit filed in July described a group of Twin Cities business entities that had been pitching a controversial foreign currency investment as "confusingly intertwined." That appears to be an understatement...
Star-Tribune: Investment fraud suit grows more complex
Permalink posted by markw @ 4:56 AM
The Consumer Credit Game Is OVER
We recently got an updated G.19 from The Fed that contained "revised" consumer credit numbers that showed the top in consumer credit (all but mortgages) was in fact in July of 2008, not January of 09 as previously reported... This morning the US Census released its update with per-capita income numbers for 2008 being released.
Here's the updated "big picture" chart - click for a bigger copy, and please note that I have updated the file repository, so Tickers from the previous couple of weeks that used this "benchmark" chart will update as well...
Denninger: The Consumer Credit Game Is OVER
Here's the updated "big picture" chart - click for a bigger copy, and please note that I have updated the file repository, so Tickers from the previous couple of weeks that used this "benchmark" chart will update as well...
Denninger: The Consumer Credit Game Is OVER
Permalink posted by markw @ 4:55 AM
Correlation Of S&P 500 Performance With Fed Monetization Activities Since Start Of QE
The chart below requires no substantial commentary suffice it to say that since the launch of the Fed's Quantitative Easing, aka Monetization, program, the value of the Total Securities Held Outright on the Fed's Balance Sheet has increased by $917 billion- from $584 billion to $1.5 trillion. This has been accompanied by an almost linear increase in the S&P 500 Index, from 721 at QE announcement on March 18 to 1033 yesterday. This $917 billion in extra liquidity, instead of igniting an inflationary spark, as the QE program was designed to do, is now (metaphorically) sloshing around bank basements...
Zero Hedge: Correlation Of S&P 500 Performance With Fed Monetization Activities Since Start Of QE
Zero Hedge: Correlation Of S&P 500 Performance With Fed Monetization Activities Since Start Of QE
Permalink posted by markw @ 4:53 AM
Hartford CEO: To Focus On Insurance As Co Rebuilds
As Hartford Financial Services Group Inc. (HIG) rebuilds, it will focus more on insurance than annuities, said the company's chief executive Thursday.
Ramani Ayer, Hartford's chairman and chief executive, was cautiously optimistic about Hartford's progress, and he added that the company is being helped along by improved investment-portfolio performance in the third quarter...
WSJ: Hartford CEO: To Focus On Insurance As Co Rebuilds
Ramani Ayer, Hartford's chairman and chief executive, was cautiously optimistic about Hartford's progress, and he added that the company is being helped along by improved investment-portfolio performance in the third quarter...
WSJ: Hartford CEO: To Focus On Insurance As Co Rebuilds
Permalink posted by markw @ 4:40 AM
To annuitize or not: The debate continues
A response to advisers who disagreed with my approach to retirement income
In my last column, I provided an analysis of the income guarantees from a life-only, immediate annuity versus the likelihood of running out of money if you kept your retirement savings invested in the markets. I received a lot of comments on that column, and I thought I'd respond to several of them...
Investment News: To annuitize or not: The debate continues
In my last column, I provided an analysis of the income guarantees from a life-only, immediate annuity versus the likelihood of running out of money if you kept your retirement savings invested in the markets. I received a lot of comments on that column, and I thought I'd respond to several of them...
Investment News: To annuitize or not: The debate continues
Permalink posted by markw @ 4:39 AM
Survey Ranks Variable Annuity Websites for Advisors
AXA Distributors, John Hancock, Lincoln Financial, Pacific Life, and SunAmerica topped the list of the best variable-annuity websites for advisors in a new survey by New York consultant, Kasina.
“All of these sites did a really good job of servicing advisors’ books, showing how contracts are set up, plus information on holdings, performance and transactions,” says Mike McLaughlin, a senior managing consultant at Kasina.
The stakes are high. With nearly 1,500 products competing in the variable annuity space, assets down 24% last year in 2008 from 2007 and flows into annuity products down over 30% since 2007, firms are striving to transform their businesses...
BIC: Survey Ranks Variable Annuity Websites for Advisors
“All of these sites did a really good job of servicing advisors’ books, showing how contracts are set up, plus information on holdings, performance and transactions,” says Mike McLaughlin, a senior managing consultant at Kasina.
The stakes are high. With nearly 1,500 products competing in the variable annuity space, assets down 24% last year in 2008 from 2007 and flows into annuity products down over 30% since 2007, firms are striving to transform their businesses...
BIC: Survey Ranks Variable Annuity Websites for Advisors
Permalink posted by markw @ 4:26 AM
Thursday, September 10, 2009
Consumers do not know where to start, Financial Planning Week poll shows
Nearly two-thirds (59 per cent) of consumers have not looked into how best to achieve their financial goals and the same proportion have not considered seeking professional financial planning advice.
This is according to Morningstar's daily poll, which is part of Financial Planning Week. The poll showed most people have not actually set financial goals, or cannot describe them clearly enough to get motivated to take action...
FT Adviser: Consumers do not know where to start, Financial Planning Week poll shows
This is according to Morningstar's daily poll, which is part of Financial Planning Week. The poll showed most people have not actually set financial goals, or cannot describe them clearly enough to get motivated to take action...
FT Adviser: Consumers do not know where to start, Financial Planning Week poll shows
Permalink posted by markw @ 1:23 PM
Wall Street Pursues Profit in Bundles of Life Insurance
After the mortgage business imploded last year, Wall Street investment banks began searching for another big idea to make money. They think they may have found one.
The bankers plan to buy “life settlements,” life insurance policies that ill and elderly people sell for cash — $400,000 for a $1 million policy, say, depending on the life expectancy of the insured person. Then they plan to “securitize” these policies, in Wall Street jargon, by packaging hundreds or thousands together into bonds. They will then resell those bonds to investors, like big pension funds, who will receive the payouts when people with the insurance die.
Wall Street Pursues Profit in Bundles of Life Insurance
Source: NY Times
The bankers plan to buy “life settlements,” life insurance policies that ill and elderly people sell for cash — $400,000 for a $1 million policy, say, depending on the life expectancy of the insured person. Then they plan to “securitize” these policies, in Wall Street jargon, by packaging hundreds or thousands together into bonds. They will then resell those bonds to investors, like big pension funds, who will receive the payouts when people with the insurance die.
Wall Street Pursues Profit in Bundles of Life Insurance
Source: NY Times
Permalink posted by armandn @ 12:32 PM
Sleep-At-Night-Money Lost in Lehman Lesson Missing $63 Billion
Treasury Secretary Henry M. Paulson Jr. left his suite at Manhattan’s Waldorf-Astoria Hotel last Sept. 15 after a sleepless night, feeling he’d done all he could to minimize the damage from that morning’s collapse of Lehman Brothers Holdings Inc., aides said.
At meetings concluded the previous evening at the Federal Reserve Bank of New York, Paulson and executives of the world’s largest financial institutions worked to head off two threats they anticipated in the wake of the biggest bankruptcy in U.S. history. The bankers spent hours trying to unwind Lehman-related credit-default swaps, bets made on whether companies will repay their debts. And with the help of a rule change by Federal Reserve Chairman Ben S. Bernanke, they were confident bank-to- bank loans would keep flowing...
Bloomberg: Sleep-At-Night-Money Lost in Lehman Lesson Missing $63 Billion
At meetings concluded the previous evening at the Federal Reserve Bank of New York, Paulson and executives of the world’s largest financial institutions worked to head off two threats they anticipated in the wake of the biggest bankruptcy in U.S. history. The bankers spent hours trying to unwind Lehman-related credit-default swaps, bets made on whether companies will repay their debts. And with the help of a rule change by Federal Reserve Chairman Ben S. Bernanke, they were confident bank-to- bank loans would keep flowing...
Bloomberg: Sleep-At-Night-Money Lost in Lehman Lesson Missing $63 Billion
Permalink posted by markw @ 12:31 PM
Military Personnel Should Review Insurance Options
As thousands of military personnel prepare to return from deployments in Iraq and Afghanistan in the coming months, they should review their insurance coverage to make certain that they and their families stay protected no matter where they are, according to the National Association of Insurance Commissioners (NAIC).
Military Personnel Should Review Insurance Options
Source: Reuters
Military Personnel Should Review Insurance Options
Source: Reuters
Permalink posted by armandn @ 12:30 PM
Americans Cutting Back on Expenses, But Consider Life Insurance a Must
Americans are looking for ways to spend less, but when it comes to life insurance they’re holding on to their policies, according to a recent report entitled, The Value of Life in Tough Economic Times issued by Prudential Financial, Inc.
The study found that 93% of consumers consider life insurance a “must.” Despite the fact that 70% have cut back on routine expenditures, 84% indicate they view the cost of life insurance as relatively minimal when compared to other items in the household budget.
Americans Cutting Back on Expenses, But Consider Life Insurance a Must
Source: Yahoo! Finance
The study found that 93% of consumers consider life insurance a “must.” Despite the fact that 70% have cut back on routine expenditures, 84% indicate they view the cost of life insurance as relatively minimal when compared to other items in the household budget.
Americans Cutting Back on Expenses, But Consider Life Insurance a Must
Source: Yahoo! Finance
Permalink posted by armandn @ 12:29 PM
John Hancock Financial Expands Investment in 'Build America Bonds' Program
John Hancock Financial Services has expanded its participation in the Build America Bonds program, recently completing another nine transactions that will help state and local entities across the United States rebuild their infrastructure as well as further strengthening the economic recovery of the nation as a whole.
Since the program's inception in April as part of The American Recovery And Reinvestment Act Of 2009, John Hancock has invested more than $600 million in transportation, utility and higher education projects as well as general obligation investments across the United States.
John Hancock Financial Expands Investment in 'Build America Bonds' Program
Source: PR Newswire
Since the program's inception in April as part of The American Recovery And Reinvestment Act Of 2009, John Hancock has invested more than $600 million in transportation, utility and higher education projects as well as general obligation investments across the United States.
John Hancock Financial Expands Investment in 'Build America Bonds' Program
Source: PR Newswire
Permalink posted by armandn @ 12:28 PM
How I Learned to Stop Worrying and Love the Debt
The handwringing over the supposedly disastrous consequences of our growing national debt shows no sign of abating anytime soon. Perhaps most troubling is that the unwarranted alarmism comes not just from rabid ever-grizzlies like ZeroHedge but also from some respectable information sources...
Zero Hedge: How I Learned to Stop Worrying and Love the Debt
Zero Hedge: How I Learned to Stop Worrying and Love the Debt
Permalink posted by markw @ 5:29 AM
Dollar touches fresh low for 2009 vs. euro
The dollar touched a fresh low for 2009 against the euro at $1.46 and reached its lowest point in more than a year against several other currencies Wednesday, extending its declines this week...
Yahoo! Finance: Dollar touches fresh low for 2009 vs. euro
Yahoo! Finance: Dollar touches fresh low for 2009 vs. euro
Permalink posted by markw @ 5:24 AM
Latest Wall St. scam? Death insurance bonds
Massachusetts life insurers and regulators are on high alert due to Wall Street’s latest scheme to make a buck: betting on when people die.
Financial firms appear to be gearing up for a big push to buy up billions of dollars of so-called “life insurance settlements” and then bundle the insurance policies into securities to be sold to investors...
Boston Herald: Latest Wall St. scam? Death insurance bonds
Financial firms appear to be gearing up for a big push to buy up billions of dollars of so-called “life insurance settlements” and then bundle the insurance policies into securities to be sold to investors...
Boston Herald: Latest Wall St. scam? Death insurance bonds
Permalink posted by markw @ 5:23 AM
Another Great Depression Comparison
ThoughtOfferings takes a unique angle on Great Depressions comparisons, and instead of focusing on earnings and multiples, demonstrates the similarities between corporate dividends which, like everything else, indicate an eerie comparison to the dark days of 1930...ZeroHedge: Another Great Depression Comparison
Permalink posted by markw @ 4:55 AM
iPhone Application for Retirement Planning Now Available for Download
Insurance Quotes.us, will introduce a new tool for consumers approaching retirement.
Retirement application is a free, handy retirement calculator that can be used
to plan one's retirement...
Reuters: iPhone Application for Retirement Planning Now Available for Download
Retirement application is a free, handy retirement calculator that can be used
to plan one's retirement...
Reuters: iPhone Application for Retirement Planning Now Available for Download
Permalink posted by markw @ 4:51 AM
MetLife picking up annuities biz from weaker rivals
MetLife Inc (MET.N) expects its sales of stock market-linked retirement products to exceed 2007 levels as it picks up business from weakened rivals.
Michael Farrell, executive vice president of MetLife's U.S. distribution, told investors gathered in New York on Wednesday that sales of variable annuities are expected to grow to between $15.3 billion and $15.6 billion in 2009...
Reuters: MetLife picking up annuities biz from weaker rivals
Michael Farrell, executive vice president of MetLife's U.S. distribution, told investors gathered in New York on Wednesday that sales of variable annuities are expected to grow to between $15.3 billion and $15.6 billion in 2009...
Reuters: MetLife picking up annuities biz from weaker rivals
Permalink posted by markw @ 4:50 AM
Wednesday, September 09, 2009
A Few New Names on the Annuity Leaderboard
With $13.3 billion in fixed and variable annuity sales in the first half of 2009, MetLife is on pace not only to repeat as the top U.S. seller of annuities but also to exceed its 2008 sales of just under $20 billion, according to LIMRA sales rankings.
A Few New Names on the Annuity Leaderboard
Source: Retirement Income Journal
A Few New Names on the Annuity Leaderboard
Source: Retirement Income Journal
Permalink posted by armandn @ 12:36 PM
WaMu: The Forgotten Bank Failure
The biggest-ever bank collapse didn't lead to chaos, but Americans will pay the price for its unsound lending for years to come.
Washington Mutual is long gone, but its lax lending could haunt us for years.
The Seattle-based institution collapsed in the largest-ever U.S. bank failure last September. WaMu ran out of cash after business customers, unnerved by the implosion of Lehman Brothers, withdrew their uninsured deposits...
WaMu: WaMu: The Forgotten Bank Failure
Washington Mutual is long gone, but its lax lending could haunt us for years.
The Seattle-based institution collapsed in the largest-ever U.S. bank failure last September. WaMu ran out of cash after business customers, unnerved by the implosion of Lehman Brothers, withdrew their uninsured deposits...
WaMu: WaMu: The Forgotten Bank Failure
Permalink posted by markw @ 12:34 PM
Dollar Collapsing, Gold Soaring: Are The Gold Bugs Finally Right?
For longer than anyone can remember, gold bugs have been predicting the demise of paper-based currencies and the rise of their favorite yellow metal. Yesterday, gold cracked $1,000 per ounce, a level it has broken only briefly in the past. And the dollar continued its collapse.
So are the gold bugs finally right? Should you swap all your dollars for gold dust and stash it in a safe-deposit box (maybe picking up some guns and cat food while you're at it)?
Yahoo! Finance: Dollar Collapsing, Gold Soaring: Are The Gold Bugs Finally Right?
So are the gold bugs finally right? Should you swap all your dollars for gold dust and stash it in a safe-deposit box (maybe picking up some guns and cat food while you're at it)?
Yahoo! Finance: Dollar Collapsing, Gold Soaring: Are The Gold Bugs Finally Right?
Permalink posted by markw @ 12:34 PM
Group Life Insurers Now Competing Over 'End-of-Life' Benefits
The new buzz phrase in Washington, D.C. these days is “health care reform,” which has become a top priority of the Obama Administration. The last time Congress took up this issue, Secretary of State Hillary Clinton was first lady and her plan for universal health care, after much acrimonious debate in Congress, never made it to President Bill Clinton’s desk for a signature.
Group Life Insurers Now Competing Over 'End-of-Life' Benefits
Source: Life Insurance Selling
Group Life Insurers Now Competing Over 'End-of-Life' Benefits
Source: Life Insurance Selling
Permalink posted by armandn @ 10:47 AM
Survey: Many Retirees Aiding Relatives
The survey, released Tuesday, found that 44% of retired individuals are supporting at least one individual financially. Children (53%) and grandchildren (37%) top the list of such dependents. An additional 12% are contributing to their parents' finances.
Survey: Many Retirees Aiding Relatives
Source: Financial-Planning.com
Survey: Many Retirees Aiding Relatives
Source: Financial-Planning.com
Permalink posted by armandn @ 10:47 AM
New Research from The Hartford Indicates Few Americans Fully Understand Their Employer's Retirement Savings Plan
As Congress debates reforms for how Americans save for retirement, a new study shows that most workers do not understand their retirement savings plans as well as other employer-provided benefits, indicating an acute need for more education.
New Research from The Hartford Indicates Few Americans Fully Understand Their Employer's Retirement Savings Plan
Source: Business Wire
New Research from The Hartford Indicates Few Americans Fully Understand Their Employer's Retirement Savings Plan
Source: Business Wire
Permalink posted by armandn @ 10:46 AM
Labor Day Musings Part II
...note that delinquencies were nasty in the 1980s and 1990s, but few of them translated into charge-offs. Now we're seeing a really ugly trend - they're translating directly into charged-off loans at a rate that threatens the entire banking system, and despite the claims of The Fed and Treasury that "things have been stabilized" there is no evidence of this in the loan performance data...
Denninger: Labor Day Musings Part II
Denninger: Labor Day Musings Part II
Permalink posted by markw @ 4:47 AM
Observations On Unusual Bond Deal Behavior
If fear is gone you would expect primary bond dealers to reduce considerably the current holdings of bonds. Point E shows that it is not the case and hoarding in treasuries continue.The latest uptick shows a net long position at over $16 billion. A very rare and unusual behavior from bond dealers. We look for long term treasury prices to go unusually higher...
Zero Hedge: Observations On Unusual Bond Deal Behavior
Zero Hedge: Observations On Unusual Bond Deal Behavior
Permalink posted by markw @ 4:45 AM
What life expectancy means to retirement planning
The toughest question to answer when planning for retirement is, How long will I need the money? The truth is: no one knows for sure. If you have heard of life expectancy estimates but are not quite sure what they represent and what that means for your future, read on. Pension planners and insurance actuaries alike rely on life expectancy data to set rates and forecast payouts. Obviously, there is a need for a baseline. But, most people do not realize that life expectancy changes as you age...
Frost Illustrated: What life expectancy means to retirement planning
Frost Illustrated: What life expectancy means to retirement planning
Permalink posted by markw @ 4:43 AM
This year, variable annuities are a better deal for the seller than for the investor
This year, as with many preceding years, variable annuities are a good deal for insurance companies but a lousy deal for investors. This isn’t personal. It’s about numbers. Just as managed mutual funds have to swim against the tide of their own expenses, variable annuities swim against an even faster tide of expenses.
No one wants to pay for tax deferral and then have no gains to defer...
Boston Globe: This year, variable annuities are a better deal for the seller than for the investor
No one wants to pay for tax deferral and then have no gains to defer...
Boston Globe: This year, variable annuities are a better deal for the seller than for the investor
Permalink posted by markw @ 4:39 AM
SEC Seeks to Shore Up Advisor Custody Rule
Regulators are looking for ways to increase accounting safeguards for investment advisors who have custody of client assets, but an investment advisor's group says some of the proposed changes are too broad and go too far.
Proposed amendments to Rule 206(4)-2, requiring all investment advisors that control or have custody of client assets to hire an independent public accountant to conduct an annual "surprise" examination of their books, would place an unnecessary burden on small advisory firms...
Financial Planning: SEC Seeks to Shore Up Advisor Custody Rule
Proposed amendments to Rule 206(4)-2, requiring all investment advisors that control or have custody of client assets to hire an independent public accountant to conduct an annual "surprise" examination of their books, would place an unnecessary burden on small advisory firms...
Financial Planning: SEC Seeks to Shore Up Advisor Custody Rule
Permalink posted by markw @ 4:37 AM
Securitizing Life Insurance: Big Return for Asian Insurers as U.S. Insurers Lose Out
In the east and west, bankers are looking to the life insurance industry to give the financial system a fresh dose of vitality. But the wildly different approaches stand to impact life insurers in equally opposite ways.
Friday, the New York Times reported that bankers are seeking to buy life insurance packages from holders who sell them at a deep discount (around 40% of the settlement value). The banks will then bundle the packages, securitize them into bonds, and sell them off to clients such as pension funds, who receive the remainder of the settlement proceeds when people with the insurance die...
Seeking Alpha: Securitizing Life Insurance: Big Return for Asian Insurers as U.S. Insurers Lose Out
Friday, the New York Times reported that bankers are seeking to buy life insurance packages from holders who sell them at a deep discount (around 40% of the settlement value). The banks will then bundle the packages, securitize them into bonds, and sell them off to clients such as pension funds, who receive the remainder of the settlement proceeds when people with the insurance die...
Seeking Alpha: Securitizing Life Insurance: Big Return for Asian Insurers as U.S. Insurers Lose Out
Permalink posted by markw @ 4:36 AM
Tuesday, September 08, 2009
Americans Maintaining Life Insurance Through Economic Turmoil
While the economy appears to be dragging down life insurance sales, middle-class Americans are hanging onto their personal policies and preserving important protection in an uncertain financial environment.
Americans Maintaining Life Insurance Through Economic Turmoil
Source: Reuters
Americans Maintaining Life Insurance Through Economic Turmoil
Source: Reuters
Permalink posted by armandn @ 10:44 AM
Technology Paying Big Dividend in Productivity
If time is money, technology is like a high-yield investment that keeps paying out time-saving dividends to savvy insurance agents. New and enhanced online tools are now available to help agents become more productive and effective in sales, agency management, marketing and client services.
Technology Paying Big Dividend in Productivity
Source: Life Insurance Selling
Technology Paying Big Dividend in Productivity
Source: Life Insurance Selling
Permalink posted by armandn @ 10:43 AM
The AIG Effect: AIG Life Companies Suffered Sales Losses, but Improved Operating Income
Events of a year ago brought some economic pain to American International Group Inc.'s life insurance subsidiaries. These came in the form of higher surrenders and lower premiums, deposits and other considerations for both life insurance and retirement services, according to AIG's second-quarter report.
The AIG Effect: AIG Life Companies Suffered Sales Losses, but Improved Operating Income
Source: Trading Markets
The AIG Effect: AIG Life Companies Suffered Sales Losses, but Improved Operating Income
Source: Trading Markets
Permalink posted by armandn @ 10:41 AM
More Older Americans in Poverty, According to Revised Formula
The poverty rate among older Americans could be nearly twice as high as the traditional 10% level, according to a revision of a half-century-old formula for calculating medical costs and geographic variations in the cost of living.
More Older Americans in Poverty, According to Revised Formula
Source: USA Today
More Older Americans in Poverty, According to Revised Formula
Source: USA Today
Permalink posted by armandn @ 10:39 AM
Gold Rallies to 18-Month High on Dollar’s Weakness, Inflation
Gold rose to the highest price since March 2008, passing $1,000 an ounce, while silver climbed to a 13-month high as a weaker dollar and concern that inflation may accelerate boosted the appeal of precious metals.
Bullion for immediate delivery surged to $1,007.70 in London, taking this year’s increase to 14 percent. Gold, which reached a record $1,032.70 in March 2008, is set for a ninth yearly gain. Crude-oil futures and all six industrial metals on the London Metal Exchange rallied as the Dollar Index lost as much as 1.1 percent to more than an 11-month low. Raw materials typically move inversely to the U.S. currency...
Bloomberg: Gold Rallies to 18-Month High on Dollar’s Weakness, Inflation
Bullion for immediate delivery surged to $1,007.70 in London, taking this year’s increase to 14 percent. Gold, which reached a record $1,032.70 in March 2008, is set for a ninth yearly gain. Crude-oil futures and all six industrial metals on the London Metal Exchange rallied as the Dollar Index lost as much as 1.1 percent to more than an 11-month low. Raw materials typically move inversely to the U.S. currency...
Bloomberg: Gold Rallies to 18-Month High on Dollar’s Weakness, Inflation
Permalink posted by markw @ 6:00 AM
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