(New York)

The last year has been rough for annuities rates. The big drop in yields once the pandemic took hold meant annuities providers had to quickly and sharply cut their rates. But at the same time, the need for annuities has never been higher, given volatility and increased rates of retirement as Baby Boomers age. So where can one find the best annuities? Check out Fidelity, Allianz, New York Life, USAA, and MassMutual. For example, Allianz has no annual fees on their fixed index annuities. New York Life offers some very strong variable annuity options, including the ability to withdraw 10% of the account without penalty, and a minimum account value of only $2,500.

FINSUM: More and more advisors are moving into annuities as client need is rising. This has led to innovation in the space (such as no-commission annuities for RIAs) as well as more product creativity.

(New York)

Income is scarce and investors need it more than ever (funny how that happens). Bonds look very risky given the direction of rates. So where can investors turn? Take a look at three different asset classes: blue-chip REITs, preferred shares, and property-backed loans. Blue-chip REITs can be a good investment because they have high yields (e.g. 4%+), but are still quality companies. They are also often trading at a discount because of the pandemic. Check out ticker “0”, Realty Income. Private property loans are another good option, yielding 8-12% , and often having good LTVs of around 60%, which means you have some significant downside protection.

FINSUM: These are some good alternative income options. Our personal favorite are the REITs because of their liquidity, but private property loans are a good option too, especially given the new economic cycle.

(New York)

Warren Buffett is aged and venerated, which gives him some significant latitude in what he wants to invest in and not. No one in the investment community seems to have a problem with Buffett avoiding Bitcoin or meme stocks, but something Berkshire Hathaway did last week might cost them. The company blocked two shareholder resolutions requesting that its holding companies disclose ESG data on climate change and workplace inclusion. That is causing some on Wall Street to draw a line. For instance, both BlackRock and CalPERS, as well as Federated, all voted against Buffett. Buffett and other director shareholders were able to stop the measures because of their voting power.

FINSUM: This vote gets narrower every year and it is a good lens through which one can view the steady and seemingly unstoppable rise of ESG.

(Washington)

In its fourth-quarter earnings report…see the full story on our partner Magnifi’s site

(Shanghai)

Central Bank Governor Yi Gang said that Chinese financial institutions will have to…see the full story on our partner Magnifi’s site