Sen. Elizabeth Warren made mincemeat Tuesday of a GOP witness who was invited to speak against a measure that would protect retirement savings from predatory financial managers,
reports Zach Carter.
Primerica President Peter Schneider touted his firm as a champion of the working man and low-income households, including some making as little as $30,000 a year that are "all too often … headed by a single mother."
Unfortunately for Schneider, Warren hadn't overlooked the fact that Primerica set aside $15.4 million in 2014 to settle lawsuits brought by 238 workers nearing retirement who had been encouraged to trade in their guaranteed pensions for riskier bets. Had they simply stuck with their reliable pensions—the sanest course of action for anyone of retirement age—Primerica stood to gain nothing. Here's Warren:
"Mr. Schneider, I just want to understand your company's advice in these cases," Warren began. "Do you believe that people like these firefighters from Florida who are near retirement and have secure pensions with guaranteed monthly payments should move their money into riskier assets with no guarantees, just before they retire?"
Almost no one who understands personal finance would give such advice in good faith. And Schneider never really answered the question, after being pressed by Warren three separate times. He said that regulators had signed off on the activity, that "each situation is very different," and that it could make sense for someone on the verge of death.
"I'm sorry, are you suggesting that these 238 people were weeks away from dying, and that's why they all got this advice?" Warren asked.
Another winner from the GOP. At least they're consistent.