Questions of elder financial abuse have been raised surrounding Marvel Comics founder Stan Lee, who died Monday at age 95 with an estate valued north of $50 million. A revocable trust can help protect elderly clients and their assets in situations like this, says Beth Shapiro Kaufman, president of the Caplin & Drysdale law firm.
Morningstar is testing a risk-analysis tool that attempts to predict the effects of future risks on investment portfolios, including the likely -- such as a recession or trade war -- and the unlikely -- such as mass unemployment due to a robot takeover. Morningstar hopes to offer the software to customers sometime next year.
Eighty percent of high-net-worth individuals surveyed by Allianz Life said they do not use required minimum distributions from retirement accounts for daily expenses. The survey also found 71% are interested in using the distributions to buy a financial product that could offset taxes.
A UK surety executive says surety bonds may offer governments extra protection against contractor default that other risk mitigation tools, such as letters of credit, may not. Among surety bonds' benefits are financial protection as well as a focus on making sure a project gets completed, the exec says. Surety bond protection is particularly important given the recent insolvency of the UK's second largest company.
Because the US economy is performing exceptionally well the Federal Reserve looks set to boost interest rates three to four times over the next year, former Fed Chair Janet Yellen said. That scenario will hold up "unless there are significant economic surprises," she said.
Technology editor Suleman Din highlights eight digital tools he says could play an important role in the future of the financial advisory industry. These include voice devices, health and wellness tools, and virtual reality.
The IRS has published a notice of proposed rulemaking to amend 401(k) hardship-withdrawal rules. Among proposed changes are permitting hardship withdrawals under more scenarios and allowing plan sponsors to permit withdrawal of nonelective and matching contributions, as well as earnings on them.
The Center for Economic Justice said a proposal being considered by the National Association of Insurance Commissioners Annuity Disclosure Working Group could lead to misleading information about the performance of indexes used by annuities. The proposal would allow the use of illustrations of the performance of indexes less than 10 years old in connection with the sale of indexed annuities.
Great American Life Insurance's Index Protector 7 contract, a fee-based indexed annuity, is being added to the RetireOne life insurance and annuity exchange program. The contract will be available to fee-based advisors and registered investment advisors.
If a regulatory examiner wishes to speak with a business, "it would almost certainly be arranged through your supervisor or compliance officer beforehand," writes attorney Alan Foxman. He says it is acceptable to explain to callers that their identities need to be verified before providing them with information.