At Retirement - May 2012
Retirement is one of the biggest challenges of contemproary Western society - how do we pay for an ageing population, which is living longer, and enjoying a more active lifestyle in retirement?
In addition, those coming up to retirement are dealing with the prospect of volatile stock markets, and restricted annuities, and have to find a way to make ends meet.
The demands on one’s retirement pot have become ever greater, but the general public seems to be a long time waking up to the message.
Auto-enrolment starts this year, with Nest also coming onstream. It is hoped that this new system will at least get more people saving regularly into a scheme, along with contributions from employers.
But the challenge is what to do with the fund when people come to retire. Firstly, will they have acquired enough to live on, and then do they know how to make the right decision, and where to go for their pension product? Will a conventional annuity suiffice, or should people go for a flexible annuity?
Much has been made in recent months of the importance of shopping around for an annuity - the ABI has issued guidelines which would encourage people to be more proactive in shopping around for their annuity. These moves are to be welcomed, but more work needs to be done to get the general population saving more, and making sure they get the right product when they come to take their pension.
Hal Austin is editor fo Financial Adviser
IN THIS REPORT
Advisers have to deal with many factors weighing heavily on the at retirement market in addition to the usual task of convincing the younger...
With retirement being a constantly changing subject for most people still employed, advisers must ensure clients stay on top of the latest changes
Those who follow the annuity market know that today the best rates are only provided by as few as four or five insurers and proper use of the OMO...
Nest details the process and features from which millions of people will be able to start saving towards a pension
ADVERTORIAL: Aston Goodey talks about how the retirement income industry has changed and how advisers should be considering all the options available.
ADVERTORIAL: Stewart Dick talks about the importance of providing advisers with options and backing that up with excellent service.