Finding the Right Financial Product for Your Retirement Objectives

Published November 1, 2018
Planning for your retirement can be broken down into three primary objectives: liquidity, growth, and income. There are different financial products to use to meet each of those needs.
  • Managing your finances for retirement can be broken down into three primary objectives
  • The three retirement objectives are liquidity, growth, and income
  • Make sure you have the best financial product to meet each of the three objectives

Planning for your retirement can be broken down into three primary objectives. For most retirees, these three objectives allow them to meet their retirement goals. These retirement objectives are:

  • Liquidity: Access to cash with little to no fees/penalties that allow retirees to meet any unforeseen expenses.
  • Growth: Assets that grow over time allow retirees to meet discretionary expenses in retirement and can be used to leave money to heirs at death. These assets tend to be riskiest to allow for the most growth.
  • Income: Income ensures that essential expenses are met no matter what happens with market-based assets.

Each of these objectives is best met through specific that optimize for that objective. Diversifying across a portfolio provides you protection and ensures that all of your goals are met. Some complicated products available in the market today promise growth, liquidity and income all wrapped into one. However, diversification within one product typically leads to a confusing, expensive offering that never meets any one objective as well as other products uniquely suited for an objective.

Use the table below to better understand which financial product best meets your retirement objectives:

At Blueprint Income, we specialize in the income goal by offering a marketplace of simple income annuities. We also have a marketplace of fixed annuities for those looking for a guaranteed return. In both cases, we aim to have the most insurers (30+ now) and most competitive pricing out there.

If you are interested in some personal advice on how to considering adding a fixed or income annuity into your retirement portfolio, email us at [email protected]

 

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Nimish Shukla

Nimish Shukla

Financial Planning Professional

Nimish has spoken with thousands of customers about retirement spending. As a CFA Charterholder and licensed fixed annuity producer he values the importance of building an income stream for retirement. In addition to his work at Blueprint Income he is also a regular contributor to Nerdwallet.