Plan sponsors that focus on health and wealth are often more likely to implement other benefits that they would not have been considered before, including life insurance, supplemental health benefits, and executive and retiree medical and retirement benefits, Caldwell added.
While most fixed-income strategies face declining yields as rates fall, the Principal Spectrum PREF ETF demonstrates how preferred securities with reset features can deliver rising income. Growing from $25 million to $1.2 billion, the strategy’s exclusive focus on institutional preferreds with floating or fixed-to-reset coupons has increased its average coupon from 4.9% to 5.5%. With 60% of holdings facing resets by 2027, this active strategy offers advisors a rare solution for potential income growth regardless of rate direction.
Gold (GC=F) prices, already at record levels, are likely headed higher as rate cut expectations grow and Fed independence comes into question.