A common mistake that I find investors make on a regular basis is to think that their financial advisor has everything covered for them. As these articles highlight, that assumption could put your retirement at great risk!
Exclusive: One in Three Senior IFAs Intend to Retire Over Next Ten Years
New research reveals that 36% of independent financial advisors (“IFAs”) that own all, or part of their firm, plan to semi-retire, or retire fully in the next decade.
So, what do investors near or in retirement do when their advisors retire? Who guides their investments or their withdrawal schemes? Who helps them with their tax decisions?
The bottom line is: It’s silly to depend on the continued presence of an advisor. Retirees need a retirement plan that completes itself, with or without an advisor’s involvement.
Participants Need Good Choices, Education and a Focus on Income
The article shares some interesting results from a survey done by Guardian Retirement Solutions.
It reports that participants in 401(k) and other defined contribution (DC) plans expect that these plans will provide one-third of their income. However, if they don’t do a smart job of converting savings to income, these DC participants will surely be disappointed.
They will not get help from the plan itself, and most advisors don’t support average investors.
Plan on doing your own research, and seek out a solution that incorporates income annuities into the mix.