Products May 25, 2023

Investment Product and Service Launches

Choreo launches Choreo Partner Alliance; Gainbridge announces upcoming B2B insurance-as-a-service platform; New York Life introduces new suite of term life products; and more.  

Reported by

Choreo Launches Choreo Partner Alliance  

Choreo LLC announced the launch of the Choreo Partner Alliance, a program designed for industry certified public accountants to better serve their clients.  

The Choreo Partner Alliance allows CPAs to partner with a Choreo adviser to aid clients who have unaddressed or complex wealth management needs. CPAs can access an array of tax-efficient estate planning, business exit-planning and investment solutions, along with Choreo’s marketing, thought leadership and technology platforms. 

For more stories like this, sign up for the PLANSPONSOR NEWSDash daily newsletter.

“I’m excited to unveil the new Choreo Partner Alliance,” said Larry Miles, Choreo’s CEO, in a statement. “Choreo is well-suited to offer this program. Having been associated with one of the nation’s largest accounting firms for more than two decades, our advisors—many of whom are CPAs themselves—have a passion for delivering a comprehensive tax and financial planning experience to their clients.” 

Gainbridge Announces Upcoming B2B Insurance-as-a-Service Platform  

Gainbridge Insurance Agency LLC announced the upcoming launch of its business-to-business “insurance-as-a-service” platform. 

The platform targets leading financial technology companies with turnkey, intuitive savings and retirement solutions for their consumers. It will be an API-based, cloud-native platform designed for easy integration.  

“We’re excited to help address the needs in the ‘save’, ‘invest’, and ‘protect’ legs of the consumer financial journey, and we want to empower companies by making it easier to offer these to their customers by bringing down the barriers to entry in the insurance world,” said Justin Wee, chief strategy officer for life and annuity at Gainbridge parent company Group 1001 Insurance Holdings LLC, in a statement. 

New York Life Introduces New Suite of Term Life Products 

New York Life Insurance Co. announced the launch of a suite of term life products. Designed for individuals and small business owners, the term life suite includes several updates: 

  • Level Term is available for 10-, 15- and 20-year periods; 
  • Yearly Renewable Term delivers year-to-year protection for those with short-term needs; and 
  • The suite includes options to purchase additional living benefits, such as access to a portion of the death benefit and having premiums waived. 

“The competitive pricing on this new suite of term life products ensures clients can secure more value from their coverage and access policy features that support bigger goals, like keeping a business afloat, saving for retirement or a child’s college education,” said Amanda Kuhl, senior vice president and head of life products at New York Life, in a statement. 

Integrity Launches Leadership Academy Built With Zig Ziglar Corporation 

Dallas-based Integrity Marketing Group LLC announced the launch of the Integrity Leadership Academy, an education program for Integrity leaders. The academy launched in partnership with the Plano, Texas-based Zig Ziglar Corp., a provider of organizational performance solutions. 

The program will include a three-day leadership retreat in Dallas, Texas, and a year-long learning management system to enhance leadership strategies. There will also be company-wide training sessions to support continued learning. 

“The Integrity Leadership Academy offers our team members the transformational opportunity to refine these skills by becoming effective coach leaders who can bring out the best in those they serve,” said Bryan Adams, co-founder and CEO of Integrity, in a statement.  

Data and Research May 25, 2023

Millennials Retirement Readiness Fell the Most From 2020

Average retirement account balances increased by 5% from last quarter, in positive movements.  

Reported by

Declining retirement readiness scores show that Millennials may have to work longer to ensure they are prepared to retire, according to Fidelity Investments data measuring plan participant’s retirement readiness.

Following the cascade of economic effects from the COVID-19 pandemic and amidst continuing market volatility, retirement readiness for Millennials’ —individuals age 27 to 42—declined to 72 in 2023 from 82 in 2020, the greatest decline for a generational cohort, according to Fidelity’s retirement analysis.  

Get more!  Sign up for PLANSPONSOR newsletters.

Baby Boomers’, ages 59 to 77, retirement readiness scores stayed flat at 87 in 2023; and Gen X workers’, ages 43 to 58, readiness scores dropped to 79 in 2023 from 80 in 2023, data shows.

“Americans have experienced some tumultuous years, but through Congress’ investment in retirement savings through the Secure Act of 2019, as well as individuals’ continued commitment to save, we are optimistic for the future of retirement security,” Kevin Barry, president of workplace investing at Fidelity Investments, said in a press release with Q1 2023 Retirement Analysis.

The multinational financial services corporations’ research shows retirement readiness scores for the typical American household—on a scale from one to 150—expressed as a percent, to show if savers are on track to meet estimated retirement income needs.   

Overall, retirement readiness declined by five points last year to 78 from 83—after reaching an apex in 2020—signifying savers have accumulated 78% of the income needed to cover retirement costs in a down market, according to Fidelity Investments research published in March.

On a positive note, the average 401(k) balances increased to $108,200, up 4% from Q4 2022 and 5% from five years ago, the analysis finds.

Plan sponsors should help participants prepare for retirement by reinforcing positive steps plan participants can take, Fidelity said. The assessment includes recommendations for plan sponsors to help each generation to increase their retirement readiness.

“As Boomers get closer to retirement, being clear on your goals and having a plan in place can make a big difference in ensuring your savings last,” said Fidelity.

  • Fidelity’s assessment included advice for participants according to their generation. The recordkeeper advised Baby Boomers to ask key questions, including whether they should delay Social Security, where their income sources will come from, and what their strategy will be for taking income from retirement accounts.

Fidelity encouraged Generation X workers to continue saving.

“Gen X-ers are in their prime earning years and may still have a long time before retirement to save and invest, so there’s plenty of time for your money to potentially grow,” the assessment says. “Individuals 50 and above can even leverage catchup contributions to boost savings.”

Fidelity recommended Gen Xers ask themselves how much they will need in income when they retire and how they can maximize disposable income into savings.

Millennials workers need to ensure they invest appropriately, says Fidelity.

“Millennials have the benefit of time on their side, so staying invested and making steady contributions–even through market volatility and recession fears–can help your retirement savings grow long-term and recover from any downturns,” according to Fidelity.

Millennials are encouraged to ask themselves how they can improve their asset allocation and what tax advantaged accounts they should be investing in.

Fidelity’s research was collected through a national online survey of 3,569 working households earning at least $25,000 annually with respondents [and spouses, if married] age 25 to 75, from August 22 through September 26, 2022. All respondents expect to retire at some point and have already started saving for retirement. Data collection was completed by Versta Research using NORC’s probability-based nationally representative online panel.

The responses were benchmarked and weighted against data from the American Community Survey and Current Population Survey conducted by the U.S. Census Bureau and the U.S. Bureau of Labor Statistics. Versta Research and NORC are independent research firms not affiliated with Fidelity Investments. Fidelity Investments was not identified as the survey sponsor.

«