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Investments

Qualified Longevity Annuity Contracts (QLAC)- The Treasury’s Effort to Ease Managing the Risk of Outliving Retirement Funds

Actual IRS QLAC Final Regs A copy of the actual final regulations is linked above. This article is intended to provide accurate, detailed summary information about the QLAC regulations in the following areas: 1)      RMD changes resulting from the use of QLAC’s 2)      QLAC Definition and qualifications 3)      Planning implications Longer life expectancy, the shift from defined retirement plans with…

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Why the Fed’s Monetary Expansion hasn’t caused excessive inflation

Expanding the monetary base can and has caused significant inflation historically.The truth is that credit long ago became a larger factor in inflation than did actual money in circulation. While the  monetary base has expanded, credit has contracted. So much so that the fed’s massive QE programs have effectively offset the loss of credit banks…

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The Potential Impact of Rising Interest Rates on the Equity Risk Premium

This is a brief article on the impact of Monetary policy on treasury interest rates, which impact equity market valuations through the Equity risk premium.. The New York Federal Reserve released an article by Fernando Duarte and Carlo Rosa May 22, 2013 titled “Are Stocks Cheap a Review of the Evidence” supporting the notion that the low-interest rate environment, caused by the…

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