In a press release from BNY Mellon they stated, this unit is dedicated to meeting current retirement needs, anticipating next-generation needs and developing customized, comprehensive and transformational investment solutions for its clients.
'We are looking to add non-traditional investment solutions to complement our suite of current retirement offerings,' said Kim Mustin, BNY Mellon Investment Management's head of North American distribution. 'Michael has more than 15 years of experience within the retirement and insurance marketplace and a proven track record in this critical market. He understands asset-liability management for both institutions and individuals, and has deep experience in distribution, marketing and investment technology solutions.'
'As the retirement and insurance markets dramatically change, we believe we must create a non-conventional group to address an enormous amount of unmet client needs,' Mustin said. 'We are confident in Michael's ability to execute upon innovative solutions for our clients that will differentiate BNY Mellon in the marketplace.'
Most recently, Gordon was Managing Director of Non-Traditional Solutions and Special Situations for BNY Mellon Investment Management. In that role, he led and will continue to lead the Home Equity Retirement Solutions business, which plans to purchase, securitize and service reverse mortgages and provide advisory services to brokers, financial advisors and asset managers on how reverse mortgages fit into retirement planning.
Prior to BNY Mellon, Gordon was an executive at New York Life Insurance Company, leading investment and insurance product management, actuarial/liability pricing, asset-liability matching, product/platform development and sales and marketing functions. Gordon will report to Mustin.
'The retirement industry is rapidly evolving from accumulation as clients' primary objective. In less than three years, more than 50% of US individual assets will be in retirement transition or retirement distribution,' said Gordon. 'Complicating matters, an estimated $6 trillion dollar gap exists between what these retirees have accumulated and what they will need in transition and in terms of income they will need in retirement. This is a problem that requires us as a firm – and as an industry – to work together on different approaches to solving this problem,' Gordon said.
'Success in the retirement, subadvisory and insurance markets will require more than 'new solutions.' It is clear that to solve this challenge, we must explore various combinations of investment excellence, guarantees, insurance and banking concepts, incorporating non-traditional and illiquid assets into portfolio construction, as well as technology innovation,' Gordon continued. 'BNY Mellon's multi-boutique model comprises 16 world-class investment managers offering varied products and strategies, including Liability Driven Investing (LDI), direct lending/Collateralized Loan Obligations (CLOs) and core fixed income. Our combined capabilities, associated with asset management, banking and insurance, will reinforce our enhanced efforts in the retirement and insurance markets.'