Portfolio

Be it the dismal disappointment of seeing their 401(k) balances fall, loss of a job or a wage cut, 48% of Americans are savings less for retirement, according to a Country Financial survey of 2,340 working Americans.

MetLife believes that the once-ignored “emerging investor” is becoming critical to adviser business as firms try to figure out how to retain and recruit new clients.

This year marks the 30th anniversary of the 401(k), the revolutionary retirement savings vehicle that has been annihilating pension plans, empowering individuals to take part in the stock market—and that left retirees with the misfortune of leaving the workforce in 2000 or 2008 badly off.

New research from Cogent Research suggests that advisers aren’t talking to their clients often enough about retirement income products.

After one 2030 target-date fund lost 41% in 2008, legislators in Washington went up in arms against the fund category. One of the most controversial proposals would have limited equity exposure in such funds, but the industry fought back on the grounds the 40 Act gives asset managers leeway to determine asset allocation on their own.

MetLife believes that the once-ignored “emerging investor” is becoming critical to advisor business as firms try to figure out how to retain and recruit new clients.

Financial services firms have yet to create a strong retirement income plan, Cogent finds.

More retirement think tanks are getting on board with the idea of including annuities in 401(k) plans, but so far, only a handful of large employers have this as an option.

Charles Schwab Corp. has partnered with Pacific Investment Management Co. to offer wealthy clients in or approaching retirement a managed municipal bond laddering product.

But the direct-pay subsidy rate would shrink from the current 35% of interest costs to 33% in 2011, 31% in 2012 and 30% in 2013, under a draft of a second jobs bill unveiled yesterday by House Ways and Means Committee chairman Sander Levin, D-Mich.