The fourth in a series of videos in which Paul Ilott, founder of multi asset research specialist Scopic Research, interviews the managers of funds that can help paraplanners and advisers address this question.
In this episode he talks to Steven Hay, Head of Income Research at Baillie Gifford.
Over the past few months Scopic Research has been conducting a retirement income project uncovering a small corner of the multi asset natural income space Scopic believes has so far been completely overlooked, as a retirement income strategy that could help to address the question as to ‘What is a safe withdrawal rate?’
The key takeaways and practical implications for paraplanners and advisers in this video:
- The key risks advisers need to consider when recommending capital withdrawal strategies for retirement income.
- How do you define a safe withdrawal rate?
- How a predictable, naturally occurring, rising stream of income from a small cohort of multi asset income funds can help and why this is so hard to come by.
- How to avoid the strategies that don’t fit the bill.
- Why the Baillie Gifford Monthly Income Fund is one of only a tiny cohort that does fit the bill.
- Why the focus needs to be on dividend income received and not on income yield!
- Why advisers might want to reassess the meaning of risk when it comes to retirement income.
- At what point should advisers introduce clients to the concept of natural income?
Multi asset research is available to paraplanners and advisers for free at www.scopicresearch.co.uk
Main image: photoholgic-Yl8IJab-sDo-unsplash
