Retirement planning

Although their investments may have lost as much as 40% to 50% of their value, Canadians are resilient in their faith in mutual funds, PricewaterhouseCoopers found in a survey of 867 people who own mutual funds.

Prudential Retirement has entered into an agreement with Hewitt Associates to offer Prudential’s IncomeFlex Target to Hewitt’s retirement plan clients.

Only 18% of individuals between the ages of 28 to 53 seek out financial advice, even though they are in the prime savings and asset accumulation of life, according to a survey of 800 investors conducted by Sway Research and Mast Hill Consulting. Most of this group—younger Boomers between the ages of 43 and 53, and Generation X, aged 28 to 42—turn to family and friends for advice on key investing decisions.

Forty percent of high-net-worth investors, those with $1 million or more of investable assets, excluding their primary home, are worried about the risk of outliving their assets, The Phoenix Cos. found in a survey. In 2007, only 33% had this concern.

Thirty-six percent of financial advisers are less confident than they were a year about in their ability to manage reitrees’ assets—with most blaming the complexity of retirement income portfolios needing to both generate growth while guaranteeing income, GDC Research and Practical Perspectives found through a survey.

The House Education & Labor Committee last week proposed new rules for 401(k) disclosure that will give investors greater transparency into the fees they are paying, but some 401(k) advocates say the new rules are too aggressive and unnecessary.

NEW YORK - After suffering deep losses in their retirement savings accounts, most Americans appear to be in a state of shock, unsure where to move next.

The “Sixty Minutes” segment on 401(k)s that slammed them as being mediocre offerings with hidden fees is not the only shot being taken at the defined contribution model—not by a long shot.

Americans are growing increasingly worried about having enough money for retirement, but that fear is turning to paralysis, as fewer investors make changes to stem future losses, a new study found.

Suspending 401(k) matches for just one year can save most companies millions of dollars a year, but doing so can severely negatively impact participants' savings rates and long-term retirement outlook, and should be avoided, according to Hewitt Associates.

The number of Americans who believe they will live a comfortable retirement has fallen markedly to 41%, down from 59% who believed this in 2002, Gallup found in its annual economy and personal finance survey.

Adam Bold, founder of The Mutual Fund Store, is urging investors to stick with their retirement goals and says that if investors choose the right mix of mutual funds, they should be able to have a happy, secure and long retirement, Bloomberg reports.

New York Life Insurance has hired 100 staff to support sales of fixed annuities through the banks, on the heels of sales in this channel increasing 130% in 2008.

Retirement confidence has hit a record low since the Employee Benefit Research Institute began its annual survey in 1993, with only 13% saying they believe they will have enough money for a comfortable retirement, and 25% saying they believe they will have enough money for just basic expenses. Those already in retirement also have downgraded outlooks, with only 20% saying they are very confident.

Suspending 401(k) matches for just one year can save most companies millions of dollars a year, but doing so can very negatively impact participants’ savings rates and long-term retirement outlook, and should be avoided, according to Hewitt Associates.

While most mutual fund companies struggled in 2008, John Hancock Funds finished the year in solid standing, buoyed by a strong first half and careful strategic planning. President and CEO Keith Hartstein recently spoke with Money Management Executive's John Morgan about the key areas that drove Hancock's record $8.5 billion in sales, some regulations he would like to see changed and his outlook for the rest of 2009 and beyond.

Without divulging the figure, AARP said “many” Americans it surveyed are still committed to saving and investing for retirement. Most respondents said that they believe the current market turmoil has slowed their retirement progress, but will not halt it.

Companies can reduce labor costs and retain key talent for continued smooth operations by considering phased retirement, Deloitte recommends. And for workers, it protects their retirement income for a longer period of time.

Guaranteed living benefits are driving sales of variable annuities, Milliman found, with 96% of those sold in 2008 including GLBs, up from 87% that had GLBs in 2004.

A last-minute Bush administration regulation that would permit advice in 401(k) plans was called into question Tuesday by a number of consumer advocates and other experts who testified before the House Committee on Education and the Workforce.