Boomers Have Interesting Perception of "Old Age"
In an effort to attract the attention of
Baby Boomers to investment vehicles,
some of the larger investment firms
have recently introduced the following
products: a survivorship universal life
policy that insures a spouse to age 121;
variable and fixed annuities with a
guaranteed minimum withdrawal
benefit; and new variable annuity and
life policies with innovative asset allocation
models structured to
accommodate clients who envision
themselves having long, active
retirements.
But none of these new-fangled
approaches has piqued the interest of
the coveted Baby Boomer market
because, according to Matt Thornhill,
founder of the Boomer Project and a
speaker at a recent conference of the
North American Securities
Administrators Association, "As a
generation, boomers feel they don't
have to worry about retirement yet." His study seems to suggest boomers' perception of middle age is 48 to 73,
so for many boomers, old age and
retirement are far in the future.
Because of this mind set, Thornhill
says, "Talking to boomers about
retirement is a bit like talking to a 15-year-old about how they plan to raise
their children."
Source: MarketWatch, 5-11-06
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