Defining Benefits
This Bill signed into law the just repealed GPO and WEP
What is the “Social Security Fairness Act”?
This category of options have maturities over 12 months out
What are “LEAPS” or “Long Term Equity Anticipation Securities”?
The Dow Jones Industrial Average has this many component companies
What is “30”?
Blackrock’s ETFs are branded like some Apple products.
What is “IShares”?
You are missing brain cells if you put money in this type of life insurance policy
What is “Whole Life Insurance”?
This strategy allows early retirees to still maximize their Age Factor
What is “Pension Deferral” or “What is “Retire and Defer”?
This Option Strategy allows investors to generate income from their existing positions
What is a “Covered Call”?
The IRS uses this income when confirming phase outs for IRAs.
What is “Modified Adjusted Gross Income”?
Calculated at the end of each trading day, this value determines the price of a mutual fund.
What is “NAV”?
A policy is placed in this structure to avoid inclusion in the insured’s Estate
What is an “Irrevocable Life Insurance Trust” or “ILIT”?
Members of reciprocal pensions must do this to optimize their payout
What is “Concurrent Retirement” ?
This Options Strategy mitigates losses while at the same time capping gains
What is a “Collar Strategy”?
This government agency is responsible for calculating and publishing the CPI
What is “the Bureau of Labor Statistics”?
This amount is registered with the SEC as the distribution expense for a mutual fund
What is the “12b-1 fee”?
This MEC Test is used when implementing a LIRP Strategy.
What is “the Guideline Premium Test”?
The Contribution rate for post- PEPRA CALSTRS members is lower that Pre-PEPRA members by this amount
What is “0.045% of salary”?
This option position can lose a theoretically unlimited amount if the underlying stock rallies
What is a “Short Call” or “Naked Call Writing"?
The Federal Open Market Committee meets this many times a year
What is “8 times” ?
This share class charges an ongoing fee for service and an additional fee at early distributions
What is a “class C share”?
This low cost VUL product is offered through Protective Life Insurance Company
What is “Strategic Objectives II VUL”?
This limits the amount of compensation CalSTRS can base a retirement benefit on
What is “Internal Revenue Code section 401(a)(17)” ?
The authors of this formula that prices Options Contracts won a Nobel Prize in 1997
What is the “The Black-Scholes formula”?
GDP is defined by the calculated by adding total spending in Consumption, Investment, Government Spending, and this category
What is “Net Exports”?
This Tax Lot Distribution Method offers the least capital gains realized
What is “HIFO - Highest in First Out”?
PenMax Premiums of this preferred insured are less than 7% of their take home income. However, they still carry this risk
What is “Complexity Risk” or “Equivalent Coverage Risk” or “Counterparty Risk” ?