Newsdash Insight on Plan Design & Investment Strategy from PLANSPONSOR
September 23rd, 2015
Webcast Invitation
Many defined benefit (DB) plan sponsors are preparing for pension risk transactions in the fourth quarter, but many others have failed to take any action. In this webinar, we will discuss the volatility in interest rates, options for locking in funded status, the tools that are available to reduce balance sheet volatility, as well as other new solutions. Any plan sponsor who is either considering or actively pursuing pension risk transfer (PRT) should attend this valuable webinar.Read more >
Benefits & Administration
Shift to DC Has Not Led to Less Retirement Savings
The accumulation of retirement assets has not declined as a result of the shift from defined benefit (DB) to defined contribution (DC) plans, according to an analysis from the Center for Retirement Research at Boston College. Researchers compared data from the National Income and Product Accounts (NIPAs) about DB plan accrued benefits and DC plan contributions and found, for the period from 1984 to 2012, DB plan accruals declined sharply, and DC plan contributions rose commensurately as the use of 401(k) plans grew. On balance, the decline in DB plan accruals has not been fully offset by rising contributions to DC plans, leading to a slight overall decline in retirement saving. But, that’s not the end of the analysis.Read more >
2022 Recordkeeping Survey
IRS Updates Life Expectancy Tables for Retirees
TRIVIAL PURSUITS: How Many States Are in More Than One Time Zone?
TRIVIAL PURSUITS: Meaning and Origin of the Idiom “Watershed Moment?”
TRIVIAL PURSUITS: Which are the most northern, southern, eastern and western U.S. States?
More than half (52%) of Americans have doubts about their ability to afford the life they want during retirement, according to an August survey by GfK of more than 23,000 people in 19 countries. In the U.S., nearly six in 10 of those in their 40s (55%) and those in their 50s (58%) are not fully confident they will have the funds they need.Read more >
Employees Don’t Want to Research Health Plan Options
In spite of reporting their medical co-pays and other out-of-pocket costs are more than they can afford at times, many employees responding to the 2015 Aflac Open Enrollment Survey said they would rather clean their toilets than research their benefits. They also reported some disappointment with high-deductible health plans (HDHPs).Read more >
Sixty-seven percent of Generation X and Baby Boomers say they still feel the impact of the market crash of 2008 in how they live, work, save and spend, according to Allianz Life Insurance Company of North America. Those who experienced six or more major effects of the crash are what Allianz is calling “post-crash skeptics,” and among this group, 93% say the crash still haunts them today. In addition, 93% of these skeptics think retirement is now a “romantic fantasy of the past,” compared with 84% of total respondents.Read more >
Advisers Shore Up Confidence in Retirement
Americans who work with a financial adviser are much likelier to be saving for retirement (93% versus 54%), according to Franklin Templeton’s 2015 Retirement Income Strategies and Expectations survey. In addition, nearly one-quarter of preretirees who have never worked with an adviser never expect to retire.Read more >
Products, Deals & People
Zenefits, a human resources (HR) automation software company, is now offering ACA Compliance Automation to its benefits customers to help them comply with the Patient Protection and Affordable Care Act (ACA)’s new coverage and reporting requirements.Read more >
NextCapital Offers More Personalization in 401(k) Advice
NextCapital has upgraded its 401(k) Digital Advice Platform to offer participants more personalization and simplicity. The new platform, which now includes portfolio tracking, account aggregation and a simplified user interface, allows plan participants to centralize and manage their entire financial picture.Read more >
Market Mirror

Major U.S. stock indices closed sharply lower as materials companies sink along with the prices of oil and copper, according to the Associated Press. The Dow decreased 179.72 points (1.09%) to 16,330.47, the NASDAQ lost 72.23 points (1.50%) to finish at 4,756.72, and the S&P 500 was down 22.51 points (1.14%) at 1,944.46. The Russell 2000 fell 17.87 points (1.55%) to 1,143.14, and the Wilshire 5000 closed 270.68 points (1.30%) lower at 20,487.30.


On the NYSE, 3.2 billion shares traded, with declining issues outnumbering advancing issues nearly 3 to 1. On the NASDAQ, 2.7 billion shares changed hands, with a more than 3 to 1 lead for decliners.


The price of the 10-year Treasury note increased 18/32, bringing its yield down to 2.138%. The price of the 30-year Treasury bond climbed 1 18/32, decreasing its yield to 2.944%.

Ask the Experts
Must a Frozen 401(a) Plan Be Terminated?
“We are a large 501(c)(3) health care organization that froze its Employee Retirement Income Security Act (ERISA) 401(a) defined contribution (DC) plan several years ago, essentially replacing the plan with employer contributions to our 403(b) plan. However, we have not terminated the plan; the plan has remained frozen since the initial amendment to freeze. Can the plan remain frozen indefinitely, or must we terminate the plan at some point?”Read more >
According to Charles Schwab data, mutual funds continued to be the top asset allocation of participant balances in its Personal Choice Retirement Account self-directed brokerage account (SDBA) option, at 39% of all portfolios, a decrease of 2% from last year. Allocations to equities remained the same at 28% and cash (17%), exchange-traded funds (ETFs) (14%) and fixed income (2%) rounded out participants’ portfolios. Charles Schwab’s institutional SDBA Indicators Report reveals balance information, participant demographics and specific sector holdings within SDBAs.Read more >
Small Talk
ON THIS DATE: In 1642, the first commencement at Harvard College, in Cambridge, Massachusetts, was held. In 1806, the Corps of Discovery, the Lewis and Clark expedition, reached St. Louis, Missouri, and ended the trip to the Pacific Northwest. In 1962, “The Jetsons” premiered on ABC-TV. It was the first program on the network to be broadcast in color. In 1998, Jamie Lee Curtis received a star on the Hollywood Walk of Fame. In 1999, Siegfried & Roy received a star on the Hollywood Walk of Fame.
WEDNESDAY WISDOM: “Life is 10% what you make it, and 90% how you take it.” — Irving Berlin, composer
Share the good news with a friend! Pass the Dash along – and tell your friends/associates they can sign up for their own copy.Read more >

News from


Copyright © Asset International, Inc., 2015.

All rights reserved.  No reproduction without prior authorization.

Editorial: Alison Cooke Mintzer


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