Use your longevity

Living longer around the world

Average expectancy at birth 1950-1955 and 2005-2010

Source: United Nations Population Division, April 2011
Note: Life Expectancy at birth, both sexes combined.

"So what do I do with my money?"

Not only should investors consider saving for retirement as early as possible, but also think about how to invest when in retirement. Compounding (where returns are reinvested to grow additional capital or income) can be a useful strategy to put cash which is not needed today to work. The sooner investors begin investing for their future needs, the greater wealth they could accumulate.

In later years, with retirement likely to span twenty or more years, those at age 60 and beyond may reasonably consider some carefully tailored exposure to risk assets (such as shares) over the long term to support them in retirement. Before using this strategy, we recommend you seek professional financial advice to ensure it’s appropriate for your individual situation and investment goals.

Use Your Longevity with Charles Prideaux

¹ Source: United Nations Population Ageing and Development 2009.

The opinions expressed are those of BlackRock as of October 2012 and are subject to change at any time due to changes in market or economic conditions.

This material is not intended to be relied upon as a forecast, research or investment advice and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any strategy in any jurisdiction in which such offer, solicitation or distribution would be unlawful or in which the person making such offer or solicitation is not qualified to do so or to anyone to whom it is unlawful to make such offer or solicitation. It is your responsibility to be aware of the applicable laws and regulations of your country of residence.  

BlackRock has not considered the suitability of investment against your individual needs and risk tolerance.  To ensure that you understand whether a financial product is available to you and whether it is suitable to meet your investment needs, please speak to your financial adviser.

All financial investments involve an element of risk. The value of your investment and the income from it will vary and your initial investment amount cannot be guaranteed.  Past performance is not a guide to future performance and should not be the sole factor of consideration when selecting a product. Overseas investments may involve risk of capital loss from unfavourable fluctuation in currency values, from differences in generally accepted accounting principles or from economic or political instability in other nations.  Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume.

Diversification and asset allocation may not protect you fully against market risk.

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