Retirement planning

An obscure book about mutual funds has begun to arouse the ire of the industry.

AUSTIN, Texas - Making sure your company's 403(b) retirement plan is in compliance by Jan. 1, 2009 can be a daunting task, especially if you haven't gotten started yet.

AUSTIN, Texas - New 403(b) regulations are coming, whether or not plan sponsors and vendors are ready for the changes.

Although Roth 401(k) features became effective Jan. 1, 2006, few employers immediately implemented them, since they were new and recordkeepers were still developing systems to accommodate the new feature.

PIMCO has named Mohamed El-Erian chief executive officer, a position he currently shares as co-CEO with Bill Thompson, who will be retiring at the end of the year.

The number of affluent households in the United States has decreased, according to initial research from the annual Affluent Market Research Program by TNS, a marketing company based in New York.

Generation X millionaires give nearly twice as much to charity on average compared to older generations, according to a new survey.

In a new effort to fund health savings accounts, the Internal Revenue Service recently issued guidance on subsidizing HSAs with money from individual retirement accounts.

Japanese investors are increasingly flocking to mutual funds that pay out monthly incomes or dividends, with such funds now accounting for 55.7% of all of the nation’s assets in funds, or $303 billion, Nikkei newswire reports.

Millions of retirees who are turning 70-1/2 are forced to take money out of their tax-deferred IRAs or 401(k)s each year, or pay a stiff penalty to the government.

The Pension Protection Act is succeeding at encouraging employers to automatically enroll and annually increase contributions for workers, Vanguard has found in an analysis of the defined contribution plans it administers.

When it comes to retirement and finances, members of Generation X and Generation Y talk the talk but they don’t walk the walk.

While hybrid mutual fund and annuity product solutions began gaining advisers’ and investors’ attention last year, such managed payout funds still have flaws. That’s according to a report from MarketWatch.

Baby Boomers and their financial advisers are going to increasingly look for one-stop-shop solutions that combine mutual funds, annuities and systematic or laddered drawn-down schedules, Investment News reports.

Symetra Financial has launched a new awareness campaign titled “Don’t Fear 65,” laying out a path for retirees to live a worry-free retirement.

To the North American Securities Administrators Association (NASAA), there are plenty of modern-day Willie Suttons eager to go "where the money is."Today, the money is largely held by seniors. Hence, regulators say, seniors are the targets of unscrupulous salespeople armed not with pistols, but with professional designations that exaggerate their competence or their concern for seniors' well-being.Now some of these individuals are being sought out not by potential clients, but by federal regulators, including the SEC and FINRA. These regulators are making it clear that advisors who use the word "senior" or various synonyms to transact business unethically are squarely in their sights. These individuals are "among [regulators'] top targets," says Tracy DeWald, general counsel at Securities America, a broker-dealer based in Omaha, Neb. "People age 60 and over are the biggest source of regulatory complaints."According to NASAA, some product salespeople using "senior" designations typically invite senior citizens to seminars where a free lunch is served along with a presentation on investments. Either at the seminar or through follow-up contacts, some advisors ultimately sell unsuitable investments to some of the attendees.In April, NASAA introduced a model rule on the use of senior- specific certifications and professional designations. This rule, which prohibits the misleading use of designations that include words like "senior" and "retiree," has already been adopted by the state of Washington. At press time, New Hampshire was set to adopt the rule and other states are likely to follow suit. A report issued last year by NASAA, FINRA and the SEC lists the popular Certified Senior Advisor (CSA) designation among those it considers misleading or confusing.Some broker-dealers have effectively banned reps from publishing senior-related credentials. Genworth Financial, for example, prohibits its employees and agents from using the CSA designation (the most common senior designation) on their business cards or in their marketing materials."We have a similar policy," says DeWald of Securities America. "In fact, we have lists of which designations are acceptable in published materials and which aren't. None of the 'senior' or 'elder' designations are on the accepted list. Some of our reps have these designations, which they can mention to clients in conversation. They can't put the letters behind their names to promote themselves."The CSA designation is conferred by the Society of Certified Senior Advisors (SCSA), which bills itself as the world's largest membership organization for professionals seeking to improve their skills in working with seniors. More than 9,500 advisors now hold a CSA designation.SCSA executives are quick to defend their organization."We're aware of regulators' concerns that certain professional designations may be misperceived by the public," compliance specialist Bill Kaluza says. "That's why SCSA requires each CSA to provide a written disclaimer to clients and potential clients."Are the CSAs telling the disclaimer to potential customers?"To date, we've had very little indication that CSAs are not using the statement," Kaluza said.

While there has been growing talk of the aging of America, two National Bureau of Economic Research economists have now coined a term for it: “age inflation,” The Wall Street Journal reports.

Equity indexed annuities, which provide investors a portion of the market’s rise but do not decline in value when the market falls, have become increasingly popular among seniors.

In addition to helping employees save for retirement, a solid 401(k) plan can help companies to attract, motivate and retain good workers, enhance a company's corporate reputation and contribute to the long-term financial success of the business, according to a new study by Charles Schwab.

A survey of people who are in charge of the finances in their household, “Household CFOs” by the Consumer Credit Counseling Service has found that 68%, or two out of three, are ill prepared to a sudden financial crisis because they don’t have emergency savings accounts.