- Reuters/Regis Duvignau
FA Insights is a daily newsletter from Business Insider that delivers the top news and commentary for financial advisors.
Insurance costs are going up for retirees (Fidelity)
A couple, both aged 65 and retiring this year, is now expected to endure healthcare costs of $245,000 over the course of retirement. That’s up 11.4% from last year and 29% from the $190,000 in 2005, according to Fidelity’s Retirement Health Care Cost Estimate. Fidelity says there are ways to prepare in advance for the high cost of healthcare during retirement. They suggest looking into private Medicare Advantage plans or opening a health spending account (HSA).
SABMiller rejects AB InBev’s takeover offer (Business Insider)
SABMiller has rejected AB InBev’s $103.9 billion takeover offer. The offer of $64.30 per share was AB InBev’s third attempt to buy its largest competitor after its two previous offers, of $57.96 and $61 per share, failed. SAB’s board released a statement saying it “unanimously rejected” the offer as it “substantially undervalues SABMiller, its unique and unmatched footprint, and its standalone prospects.”
Private equity is struggling (Think Advisor)
Private equity fundraising tumbled 46% quarter-over-quarter with 170 funds closing a combined $117 billion. Chris Elvin, Preqin’s head of private equity products, said in a statement, “The number of funds closed is the lowest of any quarter Preqin has on record.” According to Think Advisor, Swedish buyout fund EQT VII scored the biggest close of the quarter at $7.5 billion. The $5.6 billion closing of the ArcLight Energy Partners Fund VI (infrastructure) and the $5.3 billion closing of the TA XII (buyout) rounded out the top three.
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Merrill Lynch is adding advisors (Investment News)
Merrill Lynch’s advisor group is recovering from its difficult 2014. During the third quarter, the company added 12 teams and $3.8 billion in assets, according to InvestmentNews’ Advisers on the Move database. Aggressive recruiting has enabled Merrill to add to its headcount, which now stands ar 14,.370, for several quarters in a row. Without commenting on deal size, Susan McCabe, a spokeswoman for Bank of America Merrill Lynch, told Investment News the firm has added 150 veteran advisors so far in 2015.
A wealth management group that helps build houses (Financial Advisor)
McGee Wealth Management, a Portland, Oregon-based wealth management firm, has volunteered to help Habitat for Humanity build 24 homes in the area. Financial Advisor reports, the firms 11 employees will receive paid time off for participating in this project, and others that benefit the community. “In following the legacy of our founder, Judith McGee, our executives have always served local organizations to enrich the communities we share with our clients and friends,” Ashley Baldwin, McGee Wealth Management marketing director and philanthropy coordinator, told Financial Advisor. Additionally, employees will receive $250 to donate to the charity of their choice.