Pacific Life has licensed an online retirement income planning tool for advisors—which it has privately labeled Pacific Life Nautilus—from the Toronto-based QwEMA Group, which is led by the noted retirement expert Moshe Milevsky.
The tool, which ManuLife, John Hancock and other insurers have licensed in the past, generates a “Retirement Sustainability Quotient” based on a client’s age, current retirement savings and desired retirement income, and helps the advisor create an income plan using an optimized allocation to three product groups: investments, to protect against inflation risk; variable annuities with living benefits, to cope with sequence risk; and guaranteed lifetime income, to protect against longevity risk.
Advisors can use the tool to “financial advisors to engage clients in a conversation about how to build sustainable lifetime retirement income,” the company said in a release. “The tool helps differentiate the advisor in the art and science of creating retirement income.”
According to Pacific Life’s release: “The higher the RSQ, the more likely it is that the client’s current portfolio can generate the desired level of retirement income stream over his or her lifetime. The tool then offers up to three possible product allocation strategies with higher RSQs. These higher RSQ strategies illustrate how the client might increase his or her likelihood of creating a more sustainable lifetime retirement income.”
Pacific Life is supporting Nautilus with a new suite of sales, education, and promotional resources that focus on the product allocation concept. They include an interactive website and tools, as well as a comprehensive set of printed materials.
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