With the growth in 401(k) plans and the contraction of private pensions over the last 30 years, risks in retirement have slowly and almost imperceptibly transferred from institutions to individuals. Institutions staffed with actuaries and analysts are well suited to manage those risks. Individual investors may need some help.
This session introduces a relatively new kind of portfolio income insurance: a Contingent Deferred Annuity. It unbundles the insurance from underlying investments so that advisors may “wrap” the risk in client portfolios by covering investments in retail ETFs and mutual funds with lifetime income protections.
Rick, David and Govinda will identify the risk cycle, and explore how risk can be 'wrapped' with portfolio income insurance to provide a reliable stream of income. The certainty of lifetime income may give individual investors the assurance to not only spend confidently, but to allocate more to equities without the fear that a terrible market event will force them to spend much less than planned in retirement.
As the baby boomers reach retirement, advisors must solve new problems for them. And these new problems must be addressed with solutions that evolve to better manage them. Retirement income is different as clients shift their focus from maximizing wealth to creating sustainable income, clients face a greater range of risks, and clients increasingly must solve a complex lifetime financial problem. These matters are becoming particularly vital as near retirees are now experiencing continued market volatility and uncertainty, and historically low interest rates.
This presentation looks at sustainable retirement spending from investments in light of recent market events and discusses strategies to support more spending by integrating both investments and income protections, such as a new Portfolio Retirement Income Guarantee that unbundles the insurance from underlying investments to build more efficient retirement strategies.
Studies show that 45% of Americans would pay for insurance that guarantees a stream of income for life, and 95% of participants in an employer sponsored retirement plan are looking for investment options that turn savings into a stream of income in retirement1. Our survey of advisors shows that 89% of advisors believe that guaranteed income makes their clients happy.
Yet, more than a fifth of advisors say that they would not refer an annuity to their client2….
Join Lauren Drapeau of Protective and David Stone of RetireOne for the Advisor Perspectives Thought Leader Summit on August 24th, at 3:00 PM ET. They’ll explore the results of RetireOne/Protective 2021 RIA Protected Accumulation + Retirement Income Survey. Gain valuable insights into how RIAs are leveraging annuity protections in client portfolios.
Insurance-backed investments, or annuities, offer unique benefits not available in other asset management or investment strategies. And RIAs are starting to see the light, according to a recent survey from RetireOne and Protective Life Insurance. David Stone, RetireOne’s CEO, is my guest today, and will outline the results of its recent survey, how insurance products have changed in recent years, and the upcoming innovations in annuity products that financial advisors should keep an eye on.
Stop ignoring client annuities, and consider not only how they can improve performance in your client’s portfolios, but also how you can leverage them to expand your capabilities and grow your business.
It's time to think differently about building sustainable retirement income streams. Since many retirees fund their retirement using a traditional IRA, it makes sense to use a portion of that asset to fund a variable annuity with a GLWB.
For industry veterans, annuities conjure the “bad old days” of pushy insurance companies offering rich commissions to snake-oil salesmen with Rolex-knockoffs peeking out from French cuffs.
Kudzu invaded the South, obliterating the healthy and attractive vegetation carefully planted by homeowners. Variable annuity owners are likewise being strangled by excessive fees.
