Apr 21, 2018

The rich are counting on living longer

Photo: Classen/ullstein bild via Getty Images

"The Rich Are Betting On Living to 100" ... After income inequality comes longevity inequality, Bloomberg's Ben Steverman writes:

"Most rich people ... are counting on living ... two decades more than average. In a new UBS Financial Services survey, 53 percent of wealthy investors said they expected to live to 100."

"Over the past few decades, the average person’s lifespan has risen almost everywhere in the world. In China, the U.S. and most of Eastern Europe, the average life expectancy at birth has reached the late 70s. ... People in Western Europe and Japan ... can expect to live into their early 80s."

"The life expectancy of Americans has declined for two years in a row, an anomaly that can be blamed in part on the country’s opioid abuse crisis."

A sad stat: "In the U.S., ... the richest 1 percent of American women by income live more than 10 years longer than the poorest 1 percent ... For men, the gap between the richest and poorest Americans is almost 15 years."

"The rich ... know that living to 100 is a pricey prospect, one that requires more spending on health care, better food, exercise."

"In the UBS survey, which focused on people with more than $1 million in investable assets, 91 percent said they’re 'making financial changes due to increased life expectancy.'"

Go deeper

Scoop: Top NSC official reassigned to Energy Department amid "Anonymous" fallout

Photo: Mark Wilson/Getty Images

Deputy national security adviser Victoria Coates will be reassigned as a senior adviser to Energy Secretary Dan Brouillette, the National Security Council said Thursday — and a senior White House official said that the administration "rejects" the rumors that she is "Anonymous."

Why it matters: Coates has battled claims that she is the still-unknown Trump administration official that penned a New York Times op-ed and book critical of President Trump.

The Fed may be setting the table for 2020 rate cuts

Illustration: Sarah Grillo/Axios

The Fed looks to be laying the groundwork to lower U.S. interest rates this year, just as they did in April 2019 before cutting rates in July, September and October.

Why it matters: A Fed rate cut makes taking on debt more attractive for U.S. consumers and businesses, helping to juice the economy, but also puts the central bank in a weaker position to fight off a potential recession.

Morgan Stanley to buy E*Trade in a $13 billion deal

Photo: Rafael Henrique/SOPA Images/LightRocket via Getty Images

Morgan Stanley is planning to buy E*Trade Financial Corp. in a $13 billion all-stock deal, the Wall Street Journal reports, with plans to acquire the company known for helping everyday Americans manage their money.

Why it matters: The deal, which would be the largest by a major American bank since the financial crisis, signals Morgan Stanley‘s desire to bulk up in wealth management.