Date(s) - 27/01/2023
12:00 pm - 1:00 pm
At retirement, it has become very popular for those with Defined Contribution (DC) pensions to choose drawdown rather than an annuity, but drawing a sustainable lifetime income in this way is an impossible challenge for most people.
Pension Decumulation Pathways aim to provide a convenient solution to this dilemma. A small part of the DC fund is set aside for any flexible access and legacy requirements. The bulk is then used to provide a lifetime income, utilising the pooling or insuring of longevity risk.
A pathway is considered for the typical consumer and its performance compared against drawdown and an annuity. There is also discussion about how such pathways might be introduced.
Stephen Hyams FIA is chair of the Pension Decumulation Pathways Working Party. He has 40 years of experience in pensions, much of it at a major consultancy where he provided actuarial advice to trustees and employers of all sizes up to FTSE 100, and across both defined benefit and defined contribution (DC) schemes. More recently he has focussed on the challenges faced by consumers in managing their DC arrangements, and he chaired the Working Party whose paper on ‘rules of thumb’ formed the basis of the IFoA’s policy briefing, ‘Savings Goals for Retirement’, presenting at a NOCA webinar on the topic in 2020.
Bookings are closed for this event.