A new class of OAPs identified by leading wealth manager – OOPs!
  
  As  the  population  ages,  a  potential  new  class  of  pensioner  is
 rapidly  emerging   according   to  a  leading  Gold  Standard   wealth
 manager.  OOPs, or, Out Of Pocket Seniors will slip into retirement
 and age long beyond their means.  And  for  many they may not even
 see it coming.   
 
 Lee Robertson of  City-based  wealth  management  firm  Investment
 Quorum said:  ‘Many  feel  that retirement will be the Golden years of
 their  lives, but  they  may be living off coppers!    There  are  of course
 real benefits people will see from living longer than their parents and grandparents. Better healthcare and greater independence are all pluses but increases in the cost of living and lower returns on pension annuities may conspire to take the gloss off retirement for many. According to updated actuarial assumptions a 35 year old has a two in three chance of living to 85, one in two chance of making 90 and more than a one in ten chance of living until 100. ’ Lee argues that if we are now, on average, living twice as long as people did 200 years ago then many of the financial models we have adopted, even in the past few decades are no longer appropriate for a new generation of retirees. ‘Simply sticking to the work until 65, draw a works pension, live till early seventies approach is no longer good enough.’ 
 
Specific planning using intelligent assumptions will assist those approaching or planning for retirement.  They should: 
 
•  Know their number. – how much capital is required to fund the desired retirement income. 
•  Live for tomorrow as well as today – get rid of high-interest debt and make an early start on retirement savings
•  Diversify pension savings vehicles – balance savings within an over-arching retirement strategy.  
•  Get advice on asset allocation – young investors are often too cautious and older investors too aggressive. 
•  Set up a lifetime income plan at retirement - plan for a long retirement & modify income requirements to this timescale.

For more information, go to our Moneysavers page or
visit the Investment Quorum website at: www.investmentquorum.com
or phone 0207 737 1390

  Investment Quorum is authorised and regulated
 by the Financial Services Authority.


 
          

         Question One 
Do you feel enough unbiased information is available to those approaching and passing retirement in relation to annuities and pensions?

      Question Two
Do you feel that the government could orshould do more?

      Question Three
Are you aware  of the decision trees on offer from the Financial Services Authority?

       Question Four
 Are you aware that annuities have an `open market option` which can dramatically increase their value at retirement?

         Question Five
Have you been made aware of the new generation of protected and variable annuities?

         Question Six 
Do you feel equity release and home reversion is of any value in retirement income planning ?

         Question Seven 
Do you regularly review your income in retirement planning?

         Question Eight 
Are you concerned over leaving a legacy to your loved ones?