Newsdash Insight on Plan Design & Investment Strategy from PLANSPONSOR
March 20th, 2019
Investing
Custom TDF Data Shows Plan Sponsors Aligning Assets for Different Demographics
The Defined Contribution Institutional Investment Association has issued a first-of-its-kind report about allocations in custom target-date funds (TDFs), and while data is aggregated for the report, Joshua Dietch, from T. Rowe Price and a co-contributor to the research said, “Each plan has unique rationales for doing what they did.” Read more >
Number of Pension Buy-Out Deals Growing Each Year
“A big driver of the 2018 buy-out sales was a combination of mid- to large-PRT deals,” says Eugene Noble, research analyst, LIMRA Secure Retirement Institute. “We also saw two new insurance companies enter the PRT market this year.” Read more >
Industry Voices
Everyone Is Paying More Attention to Bond Funds These Days
Brett Wander and Jake Gilliam, with Charles Schwab, remind retirement plan sponsors what to consider when evaluating bond funds. Read more >
PLANSPONSOR Awards
Get to Know Our Plan Sponsor of the Year Finalists
Profiles are now online for PLANSPONSOR’s 2019 Plan Sponsor of the Year finalists in the Corporate 401(k) >$50MM category – $100MM category. Read more >
MOST READ ARTICLES
1
Principal Pledges Seamless Transition for Wells Fargo Recordkeeping Clients
2
Study Suggests Reasons Most Physical Wellness Programs Don’t Work
3
Lowe’s Defense Fails to Get ERISA Suit Dismissed
4
Schwab Arbitration Ruling Leaves Unanswered Questions
5
Employer Health Benefit Costs to Rise 6.5% in 2020
Economic Events

New orders for manufactured durable goods in January increased $0.9billion or 0.4% to $255.3 billion, the U.S. Census Bureau announced. This increase, up three consecutive months, followed a 1.3% December increase. Excluding transportation, new orders decreased 0.1%. Excluding defense, new orders increased 0.7%. Transportation equipment, up five of the last six months, drove the increase, $1.0billion or 1.2% to $90.9 billion.

Market Mirror

Tuesday, the Dow closed 121.43 points (0.47%) higher at 26,035.53, the NASDAQ was up 9.47 points (0.12%) at 7,723.95, and the S&P 500 was virtually unchanged at 2,832.57. The Russell 2000 decreased 8.95 points (0.57%) to 1,554.98, and the Wilshire 5000 was down 22.11 points (0.08%) at 29,300.60.

The price of the 10-year Treasury note was down 2/32, increasing its yield to 2.614%. The price of the 30-year Treasury bond decreased 4/32, bringing its yield up to 3.025%.

Compliance
Bill Would Amend Voting Procedures for Multiemployer Plan Benefit Cuts
The Pension Accountability Act is designed to give workers and retirees “a seat at the table” when a looming multiemployer pension bankruptcy may require major pension cuts, U.S. Senators from Ohio announced. Read more >
Ask the Experts
Can a Church Terminate a SIMPLE IRA and Establish a 403(b) in the Same Year?
“A ‘steeple’ church, as defined at IRC Section 3121(w)(3)(A), sponsors a SIMPLE IRA Plan. They wish to terminate the SIMPLE and establish a 403(b) plan within the same plan year. Is this permissible?” Read more >
Small Talk
Every year, the IRS publishes its “Dirty Dozen” list of tax scams it warns taxpayers to avoid; part of this is its report, “The Truth About Frivolous Tax Arguments.” Frivolous can mean silly or foolish, but looking at some of the frivolous tax arguments the IRS has faced, one might also call them funny, ridiculous or unbelievable. Some frivolous tax arguments mentioned in the report include: The “United States” consists only of the District of Columbia, federal territories, and federal enclaves; taxpayers can refuse to pay income taxes on religious or moral grounds by invoking the First Amendment; Federal income taxes constitute a “taking” of property without due process of law, violating the Fifth Amendment; and the Internal Revenue Service is not an agency of the United States. Read more >

ON THIS DATE: In 1816, the U.S. Supreme Court affirmed its right to review state court decisions. In 1852, Harriet Beecher Stowe’s book “Uncle Tom’s Cabin,” subtitled “Life Among the Lowly,” was first published. In 1886, the first AC power plant in the U.S. began commercial operation. In 1897, the first U.S. orthodox Jewish Rabbinical seminary was incorporated in New York. In 1922, the USS Langley was commissioned. It was the first aircraft carrier for the U.S. Navy. In 1933, the first German concentration camp was completed at Dachau. In 1952, the Senate ratified a peace treaty with Japan. In 1965, President Lyndon B. Johnson ordered 4,000 troops to protect the Selma-Montgomery civil rights marchers. In 1980, the U.S. made an appeal to the International Court concerning American Hostages in Iran. In 1982, U.S. scientists’ returned from Antarctica with the first land mammal fossils found there. In 1984, the Senate rejected an amendment to permit spoken prayer in public schools. In 1990, the Los Angeles Lakers retired Kareem Abdul-Jabbar’s #33. In 1999, Bertrand Piccard and Brian Jones became the first men to circumnavigate the Earth in a hot air balloon. The non-stop trip began on March 3 and covered 26,500 miles. In 1999, Legoland California opened in Carlsbad, California. In 2002, accounting firm Arthur Andersen pled innocent to charges that it had shredded documents and deleted computer files related to the energy company Enron.

 

WEDNESDAY WISDOM: “Another belief of mine; that everyone else my age is an adult, whereas I am merely in disguise.”—Margaret Atwood, Canadian poet and novelist

Share the news with a friend! Pass the NewsDash along and tell your friends/associates they can sign up for their own copy. Read more >

Editorial: Alison Cooke Mintzer alison.mintzer@strategic-i.com

Advertising: advertise@strategic-i.com

Subscribe to NEWSDash, click here .

To unsubscribe, click here.

BrightScope / CIO / FWW / Investor Economics / LiquidMetrix / Market Metrics / Matrix Solutions / PLANADVISER / Plan For Life / PLANSPONSOR / Simfund