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The retirement wave - Risks overarching

It’s never been more important to give clients the best possible outcome for a long-lasting income in retirement.

Managing the balancing act between the varying risks clients could face in retirement with their individual income needs can be key to helping their funds last.

Longevity risk

Longevity risk

Risks associated with ensuring appropriate income levels for clients whilst trying to protect the value of their pot.

With more people now living longer than ever before an obvious risk is the possibility of clients running out of money. Many people underestimate the length of time they will spend in retirement, so it’s crucial that the amount of income taken from pension funds is effectively managed.

Optimise the tax position of clients income and help their pension pots last longer with income drawdown.

Investment risk

Investment risk

Risks associated with protecting client investments within periods of market volatility.

Volatility is a normal part of investing. However, increases in equity market volatility can have a detrimental impact on investment performance. With more people staying invested during retirement and drawing down income as required, it’s crucial to help minimise the volatility risk on their pension funds.

Navigate volatility whilst protecting your clients' pension funds with multi-asset investing in income drawdown.

Intergenerational risk

Intergenerational risk

Taxation risks associated with passing pension benefits to dependents.

One of the key benefits of Pension Freedoms is to allow pension assets to be passed down through future generations in a tax-efficient manner. With longevity leading to more multi-generational families, this makes intergenerational planning an essential consideration for your client review conversations.

Manage intergenerational opportunities and help your clients pass on income in a tax-efficient way with successor drawdown.

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This information is for UK financial adviser use only and should not be distributed to or relied upon by any other person.