ANZ Wealth today announced details of new model portfolios focusing on the specific needs of retirees that are available through its Aligned Licensees.
The model portfolios were developed with Mercer Australia, following extensive consultation with financial advisers specialising in advice for retirees.
ANZ Wealth Australia General Manager Aligned Licensees, Darren Whereat said: “Retirees are a growing and vital segment for our advice groups that currently make up more than 40 per cent of the overall client base.”
“Our advisers tell us their clients are increasingly concerned about outliving their retirement savings, the rising costs of health and aged care, and reducing Government support.
“They want to live comfortably in retirement, without the fear of running out of money or being solely dependent on the aged pension.”
The Australian government’s 2015 Intergenerational Report shows that Australia’s demographics are rapidly changing. It projects that the number of Australians aged 65- years and older will more than double by 2055, while the ratio of working age people to non-working age people will decrease from 4.5 to 2.7.
Mr Whereat said these demographic shifts will place new pressures on the existing superannuation system and make it increasingly important for retirees to plan for an adequate and sustainable income throughout their retirement.
“Access to quality financial advice will help Australians secure their future financial wellbeing. This is why we developed the model portfolios to ensure we are providing a solution that addresses the specific needs and concerns of retirees and will help them reach their retirement goals,” he said.
“The market-based model portfolios can be tailored to an individual’s needs and risk profile. They can also be complemented by the aged pension and products like annuities, providing more certainty for retirees looking for a consistent income stream or concerned about outliving their savings.”
ANZ’s Retirement Model Portfolios are constructed using the principle of diversification across asset classes. They each have a stated objective, which could be a combination of growth, income and regular distributions, or volatility minimisation. They also incorporate traditional and newer investment techniques such as low volatility equities, unconstrained fixed income, real assets, inflation-protective investments, and hedge fund alternatives.
