Planning Efficiently for Longevity: Addressing the Challenges of Non-Linear Returns in Retirement

One of the most complex problems in the financial services industry is turning client’s savings into retirement income. Unlike the accumulation period which is often linear, taking withdrawals injects nonlinearity into the retirement portfolio management or the client’s decumulation phase. And even more sensitive to multiple risk factors is the transition period before retirement. All of this complexity creates a need for an integrated solution to help solve this complex problem and prepare clients for the uncertainties of longevity. Attend to learn more about the role insurance can play in helping to create a more integrated solution for your clients.

Learning Objectives: • The impact of sequence of return risk in decumulation. Specific examples will be discussed as it pertains to transition risk and the long-term effects of early losses on a portfolio’s residual wealth at client life expectancy
• How incorporating an insured systematic withdrawal strategy within client financial plans can improve confidence scores, increase the sustainability of cash flow in retirement and increase portfolio wealth at life expectancy
• New techniques to evaluate the efficacy of asset allocation portfolios in decumulation. This presentation will feature client case studies from prominent digital advice platforms and research tools, such as eMoney