Many of the concerns that prevent retirement-plan sponsors from offering products involving a guaranteed lifetime withdrawal benefit are exaggerated, according to the Institutional Retirement Income Council. The fiduciary standards that govern GLWB products aren't significantly different from those that apply to other investment products, the council says.
Canadian regulators are weighing whether to make energy firms, such as TransAlta and Suncor, register as derivatives dealers. Those companies anticipate that such a change would involve big capital costs for them because of mandatory clearing for their over-the-counter derivatives transactions.
The shadow of automatic tax increases and spending cuts in the U.S. -- the so-called fiscal cliff -- is looming and worrying investors, Gregory Zuckerman writes. "The quickly approaching fiscal cliff is big, scary, [and] yet avoidable," said Bill Stone, PNC Wealth Management's chief investment strategist. Although most investors think a solution cannot be worked out before the presidential election in November, they also say that enough of a consensus exists to keep the nation from sailing off the edge, Zuckerman writes.
A majority of advisers say their clients are less optimistic about being able to retire on time than they were a year ago, according to a survey by Charles Schwab. But most advisers surveyed are more optimistic. About 63% of advisers expect the S&P 500 to rise in the next six months, and 59% of them don't anticipate a double-dip recession.