226 - The Practical Problems of Turning Assets Into Income With Mark Shemtob

That Annuity Show

Merging the worlds of investment and income planning is no small challenge. Mark Shemtob, Fellow of the Society of Actuaries and CFP does this every day with his clients. Mark approaches retirement income from three perspectives: as an actuary, working with individuals, and working with retirement plans. He emphasizes the importance of diversification and the combination of investments and annuities. Mark explains that for most people, it is almost always better to have some guarantee of income in retirement. He also discusses the challenges of getting the investment world and the insurance world to mix and suggests that record keepers could play a role in offering retirement income options. Mark advocates for a centralized solution where people can collect their retirement savings and receive advice on how to best utilize those funds.

Takeaways

• Diversification is key in retirement income planning, and a combination of investments and annuities can provide a balanced approach.
• For most people, having some guarantee of income in retirement is better than relying solely on investments.
• The challenge lies in getting the investment world and the insurance world to work together, but record keepers could play a role in offering retirement income options.
• There is a need for a centralized solution where people can collect their retirement savings and receive unbiased advice on how to best utilize those funds.