Retirees with Defined Contribution (DC) pension schemes have many different goals for their retirement savings.These could include one or more of the following:
Our flexible DC investment solutions allow you to offer your members strategies that aim to meet all their investment goals.
Each retirement journey is built around two primary goals:
The main savings or “accumulation” phase of the retirement journey is pre-retirement.
During this period, regular pension contributions or one-off payments are made into the savings pot to allow for capital growth.
The pot is invested into different retirement building blocks, according to each member’s risk profile, constraints and retirement objective.
A member may choose to receive an income at different stages of their retirement journey. They may wish to:
Different approaches can be taken to allow for capital growth, while also enabling distributions to be paid in the pre-retirement phase and/or gradual decumulation post-retirement.
How do these goals translate into an investment strategy?
Your simple approach to retirement planning
Through our efficient retirement framework, any retirement journey goal can be achieved simply by combining allocations to our growth and distribution building blocks, in line with the targeted objectives.
End of career example
Personal goal: Generating Retirement Income
Heng, 50, is an ENT surgeon, has an adult child and lives in Singapore
Aged 50, Heng will retire in fifteen years. He has a comfortable income, as his seniority continues to add on to his wages.
He has already saved for his retirement so he can enjoy it fully when the time comes.
Maximise income generated for retirement phase
Strategy to meet objectives: gradual transition, derisking from growth to distribution
At-retirement example
Personal goal: planning for multiple objectives
Michelle, 66, married and mother of two grown-up children, is now retired and lives in Singapore.
Michelle has some money to invest and wishes to receive a regular monthly income.
She wants to maintain a comfortable standard of living, but also to put something aside as inheritance for her children and grandchildren.
Generate income for retirement and grow assets for her heirs
Strategy to meet objectives: a retirement plan that balances income and growth
Post-retirement for the next 15 years:
Tailored retirement solutions to meet your members' unique goals
We recognise your members are individuals who each have unique aims and objectives for their retirement.
Our flexible and innovative approach to retirement planning offers a simple and efficient way to achieve multiple, and sometimes conflicting, objectives at a scheme-wide level.
We can help your pension fund construct a defined contribution scheme that considers all your members’ individual goals.
Pre-defined glidepaths
More customised to individual need.
Risk-profiled retirement portfolios
Based on real-life retirement goals1, these are more relevant, easier to understand and can be adjusted over time.
1. According to risk-profile or asset allocation preference
Read more about the challenges of defining
a correct decumulation strategy
This information is exclusively intended for “Professional” investors within the meaning Directive 2014/65/EU of the European Parliament and the Council of 15 Many 2014 on Markets in Financial Instruments (as amended) (MIFID II). It is not intended for the general public or for non-professional individual investors within the meaning of all local regulations, or for “US Persons”, as defined in the Securities and Exchange Commission’s “Regulation S” under the 1933 U.S. Securities Act. This non-contractual information does not under any circumstances constitute an offer to buy, a solicitation to sell, or advice to invest in financial instruments of Amundi or one of its affiliates (“Amundi”). Investing involves risks. The performance of the strategies is not guaranteed. Past performance does not predict future results. Investors may lose all or part of the capital originally invested. There is no guarantee that ESG considerations will enhance a strategy’s performance. The decision of investors to invest in the promoted strategies should take into account all characteristics of objectives of the strategies. All investors should seek professional advice prior to any investment decision, in order to determine the risks associated with the investment and its suitability. Amundi assumes no liability, either direct or indirect, resulting from the use of any of the information contained in this document, and shall not under any circumstances be held liable for any decisions taken on the basis of this information. This information may not be copied, reproduced, modified, translated or distributed, without the prior written approval of Amundi. This information is provided to you based on sources that Amundi considers to be reliable at the date of publication, and it may be modified at any time without prior notice.
