Hints and tips:
...Even people with well-stocked 401k accounts are running into trouble because most plans have not put much emphasis on helping participants make efficient use of their savings....
...Rising interest rates have boosted these plans’ funding levels to their highest in more than a decade....
...“Tax incentives in long-term savings works, the example of 401k plans is quite staggering vis-à-vis what we have in Europe,” he added, referring to US pension plans....
...They plan to cut. Their longer-term projections, by contrast, are not plans — they are expressions of an attitude, a commitment to professional seriousness....
...The results of a shift to defined contribution plans, or 401k schemes in the 1980s are not looking pretty....
...Hunt also announced that the government would also launch a new “British savings bond”, offered through National Savings & Investment....
...Meanwhile the chancellor will also announce a new British Isa, in a shake up to the individual savings account that will provide a dedicated tax-free allowance for investment in UK equities....
...His allies said Labour was looking at how to fill a hole in the opposition’s fiscal plans created by Hunt adopting some of its policies....
...While some employer-sponsored plans have added ETF options, others are reluctant to offer them, because daily liquidity sends the wrong message about what the savings are for....
...Krupa has flagged an extra €1.7bn of savings by 2026 to help reboot the bank and earlier this week SocGen announced 900 job cuts at its headquarters as part of that....
...Options include growing capital-light businesses such as defined contribution pension savings and wealth management....
...To try to find cash to fund tax cuts Hunt is looking at targeted tax rises, including on vapes and tobacco, while he hopes to unlock future savings by setting out plans to raise public sector productivity...
...A new form of individual savings account may also help channel more investment into UK equities....
...“We take domestic savings and put them into the domestic economy.”...
...Rules will also be altered to enable savers to invest in long-term asset funds, a type of open-ended fund invested in illiquid assets including private equity and real estate....
...Rafe Uddin Though I think her argument would be that it’s a tax-incentivised savings product....
...The maximum annual saving from the cut in the main national insurance contribution is £753.96, for anyone earning £50,268 or more a year....
...And we will also put in place a plan to realise the tens of billions of savings recommended in an excellent speech by the Head of the National Audit Office....
...Ever since, the promise of eye-watering returns has enticed pension plans, endowments, insurance companies, private banks and business tycoons to pump $5tn into the industry....
...That compares with nearly 40 per cent in the US, where widespread holdings of 401K retirement plans have helped to embed a retail investing culture....
...Since being bought by private equity groups TowerBrook Capital Partners and Warburg Pincus in 2021, the AA has enacted a turnaround plan to increase profitability in order to pay down its debt pile....
...We knew that store closures were a risk, and the shrink-to-grow decision looks smart, but knowing when a restructuring plan will pay off is tricky. Stock picking is hard....
...But resources for the longer term should be in faster-growing but riskier equities, she says....
...My husband has an adequate pension fund invested in very low-risk equities. He is 73, very healthy, and has no immediate plans to retire....
...Her comments indicate a growing political consensus around the need to find new ways of channelling savings into companies that could drive up the UK’s moribund growth rate....
International Edition