Robert C. Merton, Ph.D., and Arun S. Muralidhar, Ph.D., discuss how Standard of Living indexed, Forward-starting, Income-only Securities can address the call for in-plan retirement income solutions.
The Treasury Department believes that if an expert was certified to assess the viability of annuity providers, retirement plan sponsors would be more inclined to offer in-plan guaranteed lifetime income options.
Specific policy changes and plan sponsor initiatives can make guaranteed lifetime income a norm in the DC plan space, TIAA suggests.
“While Millennials are saving, most are not planning," observes IRI President and CEO Cathy Weatherford.
In-plan lifetime income options are offered by more than half of not-for-profit plan sponsors surveyed, but among those that don't, misconceptions exist.
Several individuals lack knowledge about the most common investment products used to diversify retirement portfolios, the IALC finds.