Baby boomers must 'take more risk' to up retirement income

Nicola Brittain
clock

The baby boomer generation must take more investment risk if it is to generate enough income in retirement, according to one investment management chief.

Principal Global Investors chief executive Nick Lyster said with the baby boomer generation moving into retirement, there will be 15 years when "literally trillions of dollars pour into the investment market". He said this would likely could come from defined contribution (DC) plans. The payout on products will therefore be kept low by higher demand, he said.  As a result these pensioners will need to take more risk leading up to or during their retirement to receive a satisfactory level of income.  Lyster explained that retirees should therefore be looking at diversified income...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Equities

Will a tech shake-up stop the rise of passives?

Will a tech shake-up stop the rise of passives?

'That kind of built-in safety net is hard to beat'

Laura Suter
clock 18 February 2025 • 2 min read
Making sense of the great UK equity sell-off

Making sense of the great UK equity sell-off

Ongoing M&A activity proves alluring for some buyers

Darius McDermott
clock 31 January 2025 • 5 min read
Why investing in Asia is the real deal

Why investing in Asia is the real deal

Accumulating as much insight as possible

Gabriel Sacks
clock 31 January 2025 • 5 min read