Client Longevity | Longevity Planning with Advisors

Global research firm, the Aite Group, recently announced the top 10 trends driving growth in Wealth Management for 2020.

#4 on that list: Advisors Supporting Client Longevity!

By 2020, one third of the US population will be 65 and older. As people live longer, healthier lives, many face the prospect of living 20 – 30 years in retirement. This places tremendous strain on retirement savings and requires more support, which presents an opportunity for advisors focused on financial planning.

While supporting aging clients is not new, the challenges (and opportunities) are, which is driving the greater focus on longevity planning.

Longevity planning goes beyond creating retirement income streams and expands your value proposition to encompass planning for health care expenses, elder care, and caregiver needs – all involving advanced financial planning (see chart below).

The challenge, as highlighted by this Society of Actuaries study, is that 2/3rds of Americans underestimate the average life expectancy.

Client Conversation Starter

Where would you like to live in retirement and for how long? Have you considered what you’ll do if you live well past 80? One of the most important things we are planning for is your longevity which helps us plan more efficiently to make the money last.

That’s why we use a new technology called HALO that brings science to longevity and healthcare cost projections. The assessment takes less than five-minutes to complete and will give us the personalized projections we need to plan for the future.

In Action

Financial planners who seize this unique opportunity to meet the longevity planning needs of their clients can play an invaluable role in helping them truly understand the new opportunities ahead. Most importantly, they can take what may have once been just a theoretical question and turn the gift of time into the new reality.

This is where Genivity HALO can help. HALO’s algorithm creates personalized longevity projections for each client and illustrates them against the actuarial average (see below).

The expanded Genivity HALO longevity projections help clients understand the probabilities of living a long life and the importance of sticking with their financial plan. It also shows the client that you are sitting on the same side of the table in wanting to make the money last.

Helping clients understand the opportunity that longevity offers can be life changing. Planning for the possibilities can help give clients clarity and confidence.