3 Unknowns of retirement
LONGEVITY – we may have period life expectancy tables to give the average life expectancy, but, nobody lives an average life and knows exactly when they are going to die.
INFLATION – since 1900, average inflation has been 4.32% pa, but the highest one-year rate was +23.32% and we had deflation of -26.02% in one year
MARKET RETURNS – over the same period, the average return from a balanced portfolio before inflation has been 8.7% pa but the annual variation in returns is massive, with the best positive return in one year being +90.7% and the worst -33.7%
We are all living longer and our pensions will need to last longer, your pension might be needed to last 30+ years, this cannot be done without careful pension planning. Call one of our Financial Planners today , don’t put off today what you think you can do tomorrow, call us at Fitzgerald Flynn 01-2122895