Three in four Canadians close to retirement age looking for guaranteed income to reduce impact of market volatility
TORONTO, Jan. 31, 2013 /CNW/ - With 75% of early boomers in Canada age 57 and over now looking for guaranteed incomei to help reduce the impact of market volatility and longevity on their retirement plans, Sun Life Financial has launched a first of its kind retirement solution called SunFlex Retirement Income. This innovative product offers both guaranteed income and growth through potential bonus income.
Downturns in the market, especially around the time of retirement, can have a negative impact on retirement savings. Longevity is also having an impact with Canadians living longer. Statistics Canada reports that the average 65-year-old man can expect to live to age 83, and a woman of the same age can expect to live to age 86ii. Canadians may need their retirement income to last up to 30 years.
SunFlex Retirement Income helps address these concerns by providing Canadians with:
- guaranteed income for life that remains consistent and is not impacted by market ups and downs, to cover the basics such as housing, food, and clothing;
- potential bonus income that is based on market performance of selected funds, to cover additional lifestyle expenses; and
- flexibility to meet changes in future income needs.
"We are seeing that market volatility and longer lifespans are leaving Canadians concerned about whether they will have enough income to last through their retirement," said Kari Holdsworth, Vice-President, Individual Wealth, Insurance and Investments, Sun Life Financial Canada. "SunFlex Retirement Income can help deal with these concerns by offering guaranteed income plus a potential bonus to support their plan to achieve lifetime financial security."
SunFlex Retirement Income is the first solution of its kind in the Canadian retirement market because of the unique way it combines the following features to meet the needs of Canadians: the security of a competitive guaranteed income, opportunity to benefit from the market upside, and the flexibility to withdraw additional funds for unforeseen needs or lock in higher guaranteed income in the future. It is part of the Money for LifeTM approach to retirement planning that Sun Life is offering to help Canadians reach their retirement goals.
About Sun Life Financial
Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth accumulation products and services to individuals and corporate customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Vietnam and Bermuda. As of September 30, 2012, the Sun Life Financial group of companies had total AUM of $515 billion. For more information, please visit www.sunlife.com.
Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.
Note to Editors: All figures in Canadian dollars.
i 2012 Sun Life Canadian Unretirement Index.
ii Life expectancy at birth and at age 65 by sex and by geography, Statistics Canada, 2010.
SOURCE Sun Life Financial Inc.