The decumulation phase of the financial life-cycle is not well understood by the generation about to retire. They over-estimate the lifetime income a given lump sum of retirement savings will provide. This article sets out a framework for comparing the relative risks of longevity and investment...

Individuals aged 65 years and older currently make up a larger share of the population than ever before, and this group is predicted to continue growing both in absolute terms and relative to the rest of the population. This chapter begins by introducing the facts, figures, and forecasts...