Living annuity an active solution

A new approach to living annuities.
A new approach to living annuities.

One of the biggest risks pensioners face is running out of money.

A lack of retirement savings and depressed investment markets have left many pensioners and financial advisors anxious about the future. Our in-house research introduced some new ways to approach this age-old problem.

In the following series of articles and videos we unpack the living annuity conundrum, looking at the unique investment case pensioners face and how, through our research, we believe these needs can be addressed.

Typical situations facing advisors and pensioners today.

01

Many investors simply haven't saved enough to begin comfortably drawing an income of less than 5%.

02

Some pensioners are drawing an unsustainable level of income and risk running out of money.

03

Pensioners face a unique investment challenge, balancing long-term income and growth needs.

Q:  How should pensioners invest their capital and what level of income can they afford to draw? What exposure to offshore equities should be considered and what is the significance of volatility on ensuring a comfortable retirement?
Jaco van Tonder

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This communication was originally published by Investec Asset Management (Pty) Ltd, the predecessor of Ninety One SA (Pty) Ltd. The information is accurate as at the original date of publication, but any views expressed may no longer be current. The communication has been republished in our new branding but has not otherwise been updated.

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