Retirement product to address longevity and sequencing risk
Milliman has addressed sequencing risk and longevity in their new retirement solution offering, Retirement Enhancement TrustTM.
The global actuarial consulting firm said the offering was to help provide a secure retirement income for superannuation fund members.
Milliman's principal and consulting actuary in New York, Stuart Silverman, said many retirement solutions only addressed either sequencing risk or longevity, but not both.
"The Retirement Enhancement Trust recognises the interaction between returns and longevity and leverages institutional risk management and pooling approaches to provide long-term, sustainable income for retirees," Silverman said.
Silverman's counterpart in Sydney, Wade Matterson, said "volatility managed funds with principal protection are a powerful tool to manage sequence risk".
"By combining this with the longevity pooling techniques in the Retirement Enhancement Trust, a retiree's accumulated savings provides for a substantially improved standard of living in retirement," he said.
Recommended for you
Insignia Financial has reported net inflows of $448 million into its asset management division in the latest quarter, as well as popularity from advisers for its MLC managed accounts.
With ASIC questioning the dominance of research houses when it comes to retail usage of private market funds, a research house has shared how its ranking process sits alongside ASIC’s priorities.
Two Australian active fund managers have been singled out by Morningstar for their ability to achieve consistent performance and share price growth in the past 12 months.
Pinnacle Investment Management has expanded its private market coverage, forging a strategic partnership with a private markets manager via a 13 per cent stake acquisition.
