Clients Worried About Retirement?
Many investors today worry that they will not be able to manage the financial realities of a longer retirement, according to new research from BlackRock. For example:
- 62% of investors polled say they are concerned about having enough income from investments to live comfortably in retirement.
- 54% are worried about outliving their savings.
Use our Withdrawal Rates one-pager to help identify a prudent withdrawal rate and a suitable asset allocation for your investors' expected longevity. Many clients might want as much money as possible but do not truly realize the impact on their overall retirement. Discuss the advantages of using a lower withdrawal rate that will extend the lifetime of the assets. Also talk to your clients about proper asset allocation strategies to help increase their chances of a successful retirement. Highlight the fact that the proper asset allocation coupled with an appropriate withdrawal rate will increase the chances that their assets will last.
Source: BlackRock, April 2013
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