Wealth Management
Top stories summarized by our editors
9/18/2017

Hedge funds' benchmark-surpassing returns have fallen to 0.6% over the past decade, compared with the annualized 8.2% achieved in the 1990s, Northern Trust says in a report. Separate reports show investor disappointment in hedge fund performance and reduced allocations to hedge funds by family offices.

More Summaries:
hedge funds, Northern Trust
9/18/2017

With the EU's revised Markets in Financial Instruments Directive a few months away from enforcement, a symposium in London examined essential steps that over-the-counter derivatives brokers must take to be ready.

Full Story:
FinanceFeeds
9/18/2017

Altria Group has provided the option of early annuities or lump-sum distributions to 8,200 former employees who are participants in its US pension plan. Those receiving the offer are vested in the plan, but have not yet started their benefits payments.

More Summaries:
Altria Group
9/18/2017

US consumers aged 25 to 34 are more open to an annuity-based approach to funding their retirement than are other age groups, a study by the Insured Retirement Institute found. Most people in other age groups plan to tap into retirement savings as needed rather than place savings into annuities or establish systematic withdrawals, according to the study.

9/18/2017

High-net-worth Americans younger than 40 have assets under management estimated at $1.9 trillion, which makes them a worthwhile group for advisors to focus on, says Sebastian Dovey of consultants Scorpio Partnership. Dovey contends they are generally well-disposed to receiving advice but adds they can be relatively labor-intensive as they are more prone to contact their advisors than any other age group.

9/18/2017

An estimated 57 million Americans have mental or physical disabilities that may require lifetime care, yet fewer than 1,000 advisors have specialized expertise to help with such families' financial planning. However, some of these specialists maintain that nonqualified advisors can still assist these families, especially with avoiding unnecessary taxation of their assets.

9/18/2017

The majority of individual retirement account owners who are over age 70 only make withdrawals from them because of the required minimum-distribution rules, a report from the Employee Benefit Research Institute shows. The report, based on 2015 year-end figures, adds that in most cases, withdrawals are pegged to the minimum amount required.

9/18/2017

Amid expectations that potential tax reforms by the federal government may disadvantage contributors to 401(k) and other retirement plans, the Tax Institute at H&R Block has examined a number of possible scenarios and outcomes. It found that all scenarios could be at risk, and disincentivized savers may be forced to migrate to alternatives such as a Roth 401(k) plan.

Full Story:
Bloomberg
9/15/2017

Law professor Frank Pasquale has told the Senate Banking, Housing and Urban Affairs Committee that the advent of financial technology can bring benefits to financial-services providers and clients, but it will also bring complexities that should be approached with caution. In particular, Pasquale advised skepticism over claims that fintech processes are too complex to regulate, as well as over-ambitious claims on the near-term effects of blockchain technology.

9/15/2017

Couples approaching retirement age may have different visions and expectations for the future, which could cause problems if they are not discussed in advance, writes Dan Rafter of the Wise Bread personal finance website. He outlines key areas for discussion, including where they will live, what kind of lifestyle they hope for and how they will handle unplanned expenses.

Full Story:
Kiplinger online