Wealth Management
Top stories summarized by our editors
10/22/2018

A National Association of Insurance Commissioners working group will continue its discussion of an annuity sales model law at a meeting in Chicago this week. While conservative and liberal factions have been unable to come to an agreement thus far, Idaho Insurance Commissioner Dean Cameron, who chairs the working group, has said he hopes to be able to present a model law at the NAIC Fall Meeting in mid-November.

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NAIC, Dean Cameron
10/22/2018

Municipal bonds can provide retirees with tax-free income and diversification, writes Kiplinger's Eleanor Laise. She notes that muni bond supply has been tighter in 2018 compared to 2017, helping prices, and that defaults are rare.

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Kiplinger online
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Eleanor Laise, Kiplinger
10/22/2018

According to an Eaton Vance survey, 65% of advisors said they believe the midterm elections will have an effect on client investment portfolios. Forty-five percent of those said the effect will likely be positive, while 20% said they think the effect will be negative.

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Eaton Vance
10/22/2018

A bull run in stocks has helped advisors increase assets under management and revenue, according to an InvestmentNews study, but advisors say this makes the industry vulnerable if the market sours. Advisors must ensure relationships with clients are strong enough to inspire loyalty when the market drops, research analyst Matthew Sirinides says.

10/22/2018

Advisors often mistakenly assume high-net-worth clients are motivated by predominately tax savings when giving to charity, writes Page Snow of Foundation Source. She outlines other common advisor mistakes and offers checklists for discussing philanthropy.

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WealthManagement
10/22/2018

Marketing expert Chris Hooper discusses how digital advertising is changing seminar marketing. He offers three tips for advisors, including that direct mail and meal provision are no longer effective and might actually hurt participation.

10/22/2018

Retirees must think about how they will spend money, accounting for factors such as income sources and health care costs, writes Richard Rausser of Pentegra Retirement Services. He recommends devising a decumulation strategy, suggesting annuities or installment payments as a way to ensure regular income throughout retirement.

10/22/2018

Hedge Fund Research data show industry assets hit a record high of $3.24 trillion at the end of the third quarter, while net outflows amounted to $9.1 billion. A Eurekahedge report shows industry gains of 0.26% through September, the weakest performance since 2011 for that period.

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Hedge Fund Research
10/22/2018

Growth of nearly 60% is likely for the alternative investment industry over the next five years, which would bring assets to $14 trillion, Preqin says in a report. The expansion in assets is likely to occur as investors focus on yield and the number of public companies in the equities market decreases.

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Preqin
10/22/2018

Hedge funds' alpha has been flat or slightly negative in the past decade, and the investor makeup has increasingly become large institutions with "more modest return expectations" and a greater focus on risk management and diversification benefits, writes David Finstad of Bodhi Research Group. Hedge fund managers can enhance their clients' experiences by taking such steps as making alpha generation a priority over asset gathering and refraining from selling their firm to one "that can change the culture that helped the firm get them to where they are today," he writes.