(In response to Joseph Finora’s “Mitigating the Longevity Risk,” seen online at www.SeniorMarketAdvisor.com).
If companies respond by raising interest rates, there is nothing to keep them honest. I have years of experience with these instruments and falling rates are, generally, dealt with faster than rising ones. Rising interest rates may not be credited as a function of current interest rates since they correspond with the general account or if banded, the banded investments. I am working with companies now that have a 4 percent bottom and hoping for the best. Multi-years are preferable for the client.
- Joan Lockwood
Via the Internet
Cheaper is not always better
(In response to Roger Balsam’s letter in the May edition of SMA).
Right on, Roger. I thought that I was the only one on the planet who never agreed with the adage, “something is better than nothing.”