Skip to content

The Differences They Make: An Advisor, an Annuity or a Formal Plan in a Retiree’s Life

Jafor Iqbal 2/1/2018

Simply having a relationship with an advisor is not enough to create retirement confidence.

Download Your Report

No part of any report may be reproduced or translated without written permission from LIMRA. Please contact Customer Service for further information.

Industry Issues

LIMRA Secure Retirement Institute examined retiree confidence and retiree preferences when working with advisors. We also examined the major drivers of their retirement confidence.

Key Findings

Advisors who work with clients to create formal retirement income plans that include annuities elevate retiree confidence to a whole new level.

  • Simply having a relationship with an advisor is not enough to improve retirement confidence. Neither is having an annuity — unless it is part of a formal plan.
  • The sense of security comes when the advisor completes a formal retirement income plan for the client.
  • Creating a realistic formal plan encourages clients to consolidate assets with their advisors, which is a win-win situation for clients and advisors.
  • Half of the affluent and HNW clients with a formal plan have consolidated 90%+ of their assets with their advisors — more than double the percentage for retirees who do not have a plan.

Advisors need to know they should educate clients about retirement income planning, create plans based on realistic expectations, and determine how an annuity can support the plan. This will improve clients’ confidence in their retirement security, and lead them to entrust more of their assets to their advisor.

Related Resources

Download these images for your presentations.

Related Research

Singlehood in Retirement: A Study of Retirees

Nearly half of Americans aged 65 or older are single, the majority of them are women, and most lack a retirement plan. Learn more about them and the financial guidance they need.

Sources of Retirement Income: A Study of Retirees (2018)

Know how retirees are creating income, their confidence in retirement security, and how advisors can be of more help.

Retirement Spending: Experience Versus Expectations (2017)

Know how retirees are creating income, their confidence in retirement security, and how advisors can be of more help.

Meet the Project Director

Jafor Iqbal

Jafor Iqbal studies retirees and the role of financial advisors in retirement income planning. In this role, he leads the LIMRA Secure Retirement Institute's retirement income initiatives. His leadership and focus in retirement income has resulted in the publishing of LIMRA’s Retirement Income Reference Book, which is a complete mapping of the retirement income marketplace that includes retirement risks and issues faced by consumers and advisors, as well as the Fact Book on Retirement Income. Prior to joining LIMRA in 2009, Iqbal was Director of Product Management at Fidelity Investments.

Assistant Vice President
LIMRA Secure Retirement Institute
jiqbal@limra.com


For more information, please contact jiqbal@limra.com.

You May Also Like...

Recognizing Financial Exploitation

Help your representatives recognize elder financial abuse.

Trustworthy Selling

Effectively train and retain your sales professionals to increase their productivity and success in the industry.

Did you accomplish the goal of your visit to our site?

Yes No