What steps can you take to make sure your client’s plan will deliver a reliable income in retirement nowadays?
After all, it’s an area of advice that is coming under some significant regulatory attention. Because not only is it the subject of a thematic review but the arrival of The Consumer Duty has also turned the spotlight on the suitability of advice too.
Retirement income advice: why all the fuss?
The last few years witnessed big challenges for paraplanners seeking secure incomes in retirement for clients thanks to significant economic and political events.
First there was pension freedoms and the surge in drawdown strategies. Next, rising inflation and interest rates conspired to squeeze income during the cost of living crisis. And that crisis prompted the search for secure income and a revival of annuities.
The paraplanner’s dilemma
But what’s the right balance between drawdown and secure income strategies? (Is there a balance to be struck at all?) What steps can you take so your client won’t simply run out of money? And how can you be sure that the FCA will agree that your approach to retirement income is consistently suitable?
Patrick’s practical planning pointers
That’s where our guest expert at this Assembly, Parmenion‘s head of strategic partnerships, Patrick Ingram, comes in. Because Patrick shares some practical ideas that you apply straightaway to cases, and offers insights that will help you think through the planning challenges.
Among the areas that Patrick and host, Richard Allum, cover in this lunch-hour Assembly are:
- analytical drawdown advice for clients spending money in retirement
- why managing drawdown is different to wealth management
- the importance of secure income ratios in drawdown planning
- the ‘4% rule’ versus current annuity rates
