A new study finds that women nearing retirement age have a significant lack of financial knowledge. Combined with the fact that women live longer than men, the study is alarming news for both clients and advisors.
Read moreIn a direct swipe at Vanguard, Fidelity slashes fees on 14 of its flagship funds. Is there an opening for the Boston-based giant to take down low-fee Vanguard?
Divorce is incredibly costly and the right advisor can save a client a bundle — or at least limit the expense. Some experts share tips for preparing and protecting a client headed for splitsville.
A new guidance from the Department of Labor address some key sticking points for advisors acting as non-fiduciaries to defined contribution plans. For the most part, the department adopts a lenient stance toward compliance with fiduciary mandates.
New RIA relationships and the growth of roboadvisories are major trends in the industry, as found in the latest Schwab quarterly report. Analysts say both issues will be felt by industry players for many years to come.
Financial advisory growth has stymied, with fewer active advisors in play, and per-advisor revenues in decline, a new report finds. What are the factors in play?
Consumer confidence is at a nearly 16-year high, experts point out, a major indicator that the markets will continue to expand for the rest of 2017. But if confidence indicators flag, be wary of a crash.
The Federal Reserve appears committed to normalizing interest rates further and initiating its balance sheet reduction this year, experts say.
A look at how fixed annuities stack up against bond mutual funds.
How to build trust so that prospects trust you even before they meet you and become clients much more rapidly.
A pilot, Direct-to-Consumer annuity offering by Nationwide is generating plenty of useful data about consumer habits and their needs to speak to live advisors.
A new study reveals that millennials and women are growing more interested in socially responsible investment options. Advisors in those demographics are moving with the trends, data shows.
How does an advisor plan for the client who wants to work in retirement? Such a plan can improve the retirement outlook, but the pitfalls include unrealistic expectations.
With regulation, technology and other factors creating great change within the industry, financial advisors have plenty of career choices to consider. Fee-based and dually registered advisors are expected to fare well in the coming years.
Fee-based consolidators of investment advisors are closing bigger and bigger M&A deals, analysts say. Seven of the top 10 brokers measured by AUM who moved from the captive channel to the independent channel between 2009-15 move to consolidators.
President Donald J. Trump has vowed to ease or get rid of regulations across the business world. So why are government agencies ramping up investigations of registered investment advisors?
Nearly a quarter (24.6 percent) of the U.S. population ages 0 to 17 years old was Hispanic in 2015, an increase from 17.1 percent in 2000, new data finds. This demographic is historically underserved by life insurance.
The annual rate of retirement health care costs is growing (5.47 percent) at double the annual growth rate of Social Security cost-of-living adjustments, a new study finds. What can clients do to prepare?
Deciding when to take Social Security benefits can be one of the most important decisions an advisor helps a client to make.
Assets gathered by multi-family offices grew 13 percent annually over the three-year period ending in 2015, according to new data. That surpasses the growth in the hot registered investment advisor (RIA) field. What does it mean?
Financial Advisors Want Variety In Practice Management Tools, Study Says Some 67 percent of financial advisors rely on practice management…
Fee-based registered financial advisors (RIA) and dually-registered advisors are growing much faster than commission-based independent representatives. Industry pressures are reshaping how investment advice is delivered, experts say.
Since starting his own financial advisory firm in October, Grayson Hofferber has charged a monthly retainer that ranges from $50…
If you’re going for the dividend route, which of the two primary dividend strategies is best: dividend growth, or dividend yield? Investment gurus are casting a vote for growth.
Some 93 percent of people 25 years and younger are willing to buy insurance online compared to only 63 percent…
Investors should diversify their holdings across top-performing emerging markets, experts say. But take care to be wary of volatility and invest with some trepidation.
Fred Fern had all of his money invested in IBM in 1962. When the blue chip of blue chip stocks…
Financial advisor trade associations are racing to offer new training programs to expand their reach to life insurance professionals operating in foreign markets. In particular, Asia is an area of immense interest.
Asset managers and owners expect their investment in ESG alternative assets, including hedge funds, infrastructure, real estate and private equity…
Working with a financial advisor helps career military families stay focused on retirement savings, which will be more important with…
Evidence is mounting that advisors are more likely to include health care spending as a topic to be included in retirement planning. A new report indicates a 65-year-old couple retiring today will need $404,000 for health care costs.
While financial advisory fees have undergone some compression, they remain surprisingly robust in mid-2017 and should stay that way for the foreseeable future, a new paper predicts.
When RIA regulators arrived at Safe Harbor Financial Advisors’ offices in May for an inspection, the Virginia state examiners had…
Investment advisors and financial advisors who leave or break away from their captive channel to start new in the independent channel is lower than speculated. The Department of Labor fiduciary rule might move the number northward.
The Nasdaq composite and S&P 500 rallied immediately after the French voted for their next president and advisors remain optimistic…
Some 82 percent of S&P 500 Index companies published a sustainability or corporate responsibility report last year, according to new…
The fiduciary rule is in partial effect, but clients might be asking questions related to it.
New studies show more women taking on the role of financial breadwinner. Data also shows women unprepared to inherit wealth or pass their own wealth on to loved ones. An opportunity for advisors?
The ‘duty of care’ is just one of the fiduciary duties required by the DOL Rule, which takes effect Friday. Our Kim O’Brien explains how the duty of care impacts the financial advice advisors give.
Growth in the number of online-only advice firms in the business-to-consumer segment is apparently leveling off, according to new data. Robo models will have a role in the future, analysts say, but how big of a role is unknown.
If President Donald J. Trump gets his way on taxes, the traditional mortgage interest tax deduction would change dramatically. But would it depress home ownership? Advisors might have to recommend renting.
Many people who opt for an annuity are happy with them, but what of people who chose the lump sum…
New FINRA notice requires broker-dealers to keep records of any text message correspondence, and take responsibility for any links or shares to third-party content providers.
Clients tend to get more enthusiastic and emotional about investing when the stock market is bullish, analysts say. Advisors can do well to keep clients on an even keel while those emotions run high.
Beltway politics is rated among the top three trends that will impact both financial advisors’ and individual investors’ approach to investing in 2017, according to the third annual Advisor Authority study.
Small caps have had a rough 2017 to date, but analysts point to several factors that could spur a rebound — among them, tax reform, interest rates and regulation reform. Investors should steer clear for now.
With 100,000 brokers retiring in the next ten years, and half the industry talent age 55 or higher, according to a new report, some in the financial services industry are trying to recruit much younger advisors.
The average time between an agent applying for life insurance coverage and receiving a response has been cut by more than a week, thanks to new technology.
Confusion surrounding the Department of Labor’s fiduciary rule has caused insurance distributors to hold back on specific sales strategies and that could affect annuity sales this year, insurance company executives said.
A persistent financial advisor can be a client’s best friend when it comes to estate planning. A crucial activity that many clients put off, estate planning requires strong communication and family buy-in, experts say.
WINDSOR, Conn., May 15, 2017 – A new LIMRA Secure Retirement Institute Study finds 8 in 10 of defined contribution (DC)…
The variable annuity, branded as “Lincoln Core Income built with iShares,” offers only passive, low-cost exchange traded funds from asset manager BlackRock.
Building trust is the basis for client understanding.
Variable annuity sales plunged by 21 percent last year over 2015, but the drop could be over, some analysts predict. A resolution to the Department of Labor fiduciary rule would help.
Labor Secretary Alexander Acosta wants to freeze the fiduciary rule in a way that will “stick,” according to an email…
Those in younger age groups are less certain than their elders of their investment knowledge, but those younger investors also were less likely than their elders to have a financial advisor.
The first quarter of 2017 was the most active one ever when it came to mergers and acquisitions among registered investment advisors.
An extended period of low interest rates has put pressure on the 4 percent rule as well, as retirement income portfolios find it difficult to eke out gains without taking on more risk.
Cash-flow analysis is a critical component of the comprehensive financial planning process so clients have an accurate picture of what they are spending. Yet few advisors are doing it. Why not?
Matchmaker, matchmaker, financially vet this match …
BOSTON – Massachusetts seniors will receive more than $130,000 in refunds as a result of a settlement with a mortgage…
A new survey highlights the gap between what Americans say they want to retire and what actions they are taking to meet that lofty goal. Younger people need to commit to saving for retirement, one advisor says.
NEW YORK – AXA, a leader in providing financial security and retirement products, announced its newest addition to the defined contribution…
On April 10, in advance of an April 25 shareholder meeting, the bank said it had pulled back an additional $75 million n stock awards from a couple of top executives. Those executives, former CEO John Stumpf and former head of business, Carrie Tolstedt, have had $69 million and $67 million in compensation, respectively, taken back. Elizabeth Warren, the former Harvard…
–To test the financial knowledge of Americans, GOBankingRates quizzed survey respondents from all 50 states on basic finance terms and concepts. For full details on the survey results, visit: https://www.gobankingrates.com/personal-finance/americans-dont-know-super-basic-finance-terms/. Respondents were asked the following questions and given…
New survey data finds that roughly two-thirds of investors say they really want good, conflict-free fiduciary advice, yet few are willing to pay extra for it. Can advisors respond to the challenge?
Jackson National Life Insurance Company ® today issued the results of its 2017 Investor Education Survey, which aimed to gauge Americans’ perception of their current level of financial knowledge, investing acumen and overall confidence in these areas. A key finding was that more than 58 percent of the 2,772 respondents to the study said they do not feel…
Investor alert: Gold has a good chance of rising under Trump because gold tends to rise in the first year of new presidents, especially those with controversial new spending plans.
A 2016 study from Go Banking Rates says 69 percent of U.S. adults have less than $1,000 in savings. What can advisors do to get clients committed to an emergency fund?
Variable annuities have long been hot sellers for agents, but times have changed. Regulations and other pressures have squeezed the VA market. But the products aren’t likely to disappear, analysts say.
Is it a good idea to buy an annuity within an IRA or Roth IRA? At first blush, the answer would seem to be “no” because one of the biggest benefits of an annuity is tax deferral, which you already have in an IRA. But it’s not so simple.
—U.S. Treasury Department agents have recently obtained information about offshore financial transactions involving President Donald Trump’s former campaign chairman, Paul Manafort, as part of a federal anti-corruption probe into his work in Eastern Europe, The Associated Press has learned. Information about Manafort’s transactions was turned over…
If you want to get the attention of the $240- billion Farm Credit System, just mention the $725- million loan CoBank, a System lender, made to Verizon in 2013 to help finance Verizon’s $130- billion buyout of Vodafone, a European telecommunications giant. The far-from-the-farm loan incensed commercial bankers, the System’s largest competitors, who howled to…
CNN, Fox News Channel and MSNBC all followed FBI Director James Comey’s testimony before a congressional committee Monday morning live. For a while, so did ABC and NBC, cutting in to normal daytime programming. Fox News wrapped up its coverage of the hearing, which lasted until 3:20 p.m. and was shown nearly in its entirety on CNN and MSNBC.
She fears that the Republican health care bill will result in Medicaid cuts that will make it harder for disabled Americans to live independently. The current debate over Medicaid has Anastasia Somoza thinking about the Willowbrook State School, the infamous Staten Island institution for people with developmental disabilities that New York state…
March 18– It’s the time of year when the Warren-Hamilton Counties Community Action Agency is starting to receive requests for emergency fuel assistance from families that have used up their annual allotment of Low Income Home Energy Assistance Program funding. “With March being the weather that it was the last couple of weeks, we are getting a lot of requests,”…
For pre-2016 tax years, the IRS processed tax returns even if there was no information provided about the taxpayer’ s compliance with the Affordable Care Act’ s coverage requirement. The IRS then said that, for 2016, it would not process any returns that failed to provide information about the taxpayer’ s compliance with the ACA coverage requirement.
Amazon.com, Inc. (NASDAQ:AMZN) announced that William Gordon resigned from the e-commerce giant’s board of directors. In a filing with the U.S. Securities and Exchange Commission, the online retailing giant said that venture capital executive stepped down as a director to provide consulting services to the company for two years. Amazon said that Gordon will remain […]
The post Gordon Resigns as Amazon.com, Inc. (NASDAQ:AMZN) Director appeared first on Market Exclusive.
The few who save do so because of employers’ 401(k)s and concerns that health events will drain their savings.
U.S. stocks are rising after the government reported that prices paid by consumers increased in February, a sign of potentially stronger economic growth. The Federal Reserve is widely expected to raise interest rates Wednesday afternoon and investors are waiting to hear the central bank’s views on the state of the economy and its plans for interest rates.
Based upon discussions with insurers expected to be impacted by the U.S. Department of Labor’ s fiduciary rule, A.M. Best notes that the vast majority of these companies are moving ahead with implementation, despite the ongoing uncertainty given President Donald Trump’ s lack of support for the guidelines. Given that qualified fixed-indexed and variable…
“Save for retirement,” said Rocky Mengle, senior writer and analyst for Wolters Kluwer Tax and Accounting.“ That‘ s not really a tax issue, but just save for retirement. The taxability of retirement benefits varies from state to state, according to a press release from Wolters Kluwer Tax and Accounting. More information about various taxes and the effects of them can…
President Donald Trump’s proposal on defense spending, and how to pay for it, would be devastating for the nation’s welfare. As a boy growing up in Cleveland, one of my earliest memories of my father was that he had only one suit. Defense spending in 2016 was more than $600 billion, which accounts for 54 percent of discretionary spending.
By a News Reporter-Staff News Editor at Investment Weekly News– Assets of the 1,000 largest U.S. retirement plans grew to $9.39 trillion as of Sept. 30, up 6.2% from 12 months earlier and the highest level in the history of Pensions& Investments’ annual survey released. “Each year, this survey drives home the point that the money being saved for retirement in the U.S. is…
On January 25, 2017, the Honorable Nicholas G. Garaufis of the U.S. District Court for the Eastern District of New York entered a final judgment against defendant Edward G. Newman. The SEC’s complaint, filed on October 19, 2007 and amended on March 23, 2015, alleged, among other things, that Newman and other officers and directors of Xybernaut Corp., signed…
WASHINGTON– A former financial advisor, who provided services and investment advice to current and former professional athletes, pled guilty today to a federal charge stemming from the theft of more than $1 million from his clients, announced U.S. Attorney Channing D. Phillips and Andrew Vale, Assistant Director in Charge of the FBI’ s Washington Field Office.
The new CEO of AmeriLife gives his views.
SALT LAKE CITY- Paul Taylor didn’t come to court Monday looking for revenge. Taylor said he and his wife have endured sleepless nights since losing the money they invested with convicted Fruit Heights businessman Dee Allen Randall. My heart bleeds for everybody here, as well as myself, “Taylor said, looking around at the 3rd District courtroom that was filled to…
Trump memo fails to order specific delay the Department of Labor fiduciary rule. Language ordering a six-month delay removed from final version of memo signed Friday.
CENTRAL ISLIP, N.Y.– Earlier today, Daniel Winston LaMarco, a Huntington, New York investment adviser, was sentenced to 42 months in prison and three years of supervised release following his August 2016 guilty plea to wire fraud and commodities fraud. As part of the sentence, LaMarco was also ordered to pay $872,600 in restitution to the investors in a commodity…
Flathead County District Court Judge Amy Eddy Jan. 25 accepted a plea deal in the Ponzi case of Catherine Ann Finberg. In the deal, the Columbia Falls woman agreed to plead no contest Dec. 28 to a felony count of embezzlement, common scheme; guilty to operating a pyramid promotional scheme and guilty to two counts of fraudulent security practices in exchange for the…
Agents and financial advisors should proceed with caution in the wake of President Donald J. Trump’s suspension of a fiduciary advice rule for retirement investors, distributers said Friday.
The Trump Administration and the Republican-controlled Congress could bring about major changes in tax law and, if passed, Texas would…
Thousands of financial and insurance services businesses may decide against advising consumers about the safety and protection of qualified annuities if the DOL rule is implemented as it is written. Our Kim O’Brien talks about the biggest problems.
Advisors had better be prepared to explain their revenue models, their fees and the value they provide in order to defend their piece of the investment market, analysts say. Online advice models continue to grab a bigger share of AUM.
—A rare doubleshot of encouraging news on retirement savings: Workers are contributing more to their 401 accounts, and they’re taking out fewer loans from them. The combination means that the average 401 balance was $92,500 at the end of 2016, up nearly 5 percent from a year earlier. Paychecks finally seem to be on the upswing for families outside the top earners,…
Jan. 31– A Jenison man accused of bilking West Michigan residents out of more than $4.3 million has been sent to prison for a minimum seven years. Scott Richard Rookus, 45, was sentenced Monday in Ottawa County Circuit Court. Judge Jon Hulsing said he was exceeding the sentencing guidelines for the defendant.
Registered investment advisors are at a crossroads, with technology putting pressure on advisors to adapt or die, some analysts say.
While the Department of Labor fiduciary rule may be delayed, the risk of failure to comply are too great for firms to ignore the rule, two analysts say. At any rate, a future fiduciary standard is likely in some form.
BOSTON– A Waltham- based financial advisor has agreed to plead guilty in connection with defrauding his clients by engaging in a multi-year “cherry-picking” scheme. Michael J. Breton, 52, the managing partner of an investment advisory firm, Strategic Capital Management, LLC, was charged in an Information with securities fraud. “Motivated by greed, Mr. Breton used…
The SEC’s Enforcement Division alleges that the firm, formerly named Meyers Associates L.P., failed to file Suspicious Activity Reports for $24.8 million in suspicious transactions, including those occurring in accounts controlled by microcap stock financiers Raymond H. Barton and William G. Goode who are separately charged today by the SEC with…
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