“Don’t simply retire from something; have something to retire to.”
~ C.S. Lewis
The Fidelity Retirement Report found that attitudes towards retirement have changed over the last twenty years as the number of Canadians over the age of 65 has increased 86% compared with the 27% increase in the general population.
In fact, Fidelity reports that most Canadians now believe “retirement no longer implies stopping work completely; it’s about transitioning to more flexible work arrangements or following passion projects.”
Here is a very helpful article that can guide you to think through some of the factors facing those who want to retire early.
However, while the current trend towards working full-time for longer (age 65 vs age 60) may contain an element of choice, almost all Canadians investing for retirement feel that it has become more complicated than it was 20 years ago.
Top of mind for those who are planning to retire as well as retirees: increases to the cost of living, headlines, the economy, interest rates and stock market volatility.
We understand all of these concerns. Preparing for retirement requires one to take into account all of these factors including stock market volatility. Recently, retirees have been facing much more stock market volatility than in past decades.
Thinking through retiring early means considering that our savings have to last longer and finding financial strategies to help you withstand more volatility over time.
If you are considering retirement, especially early retirement, we recommend:
- Consider saving more to give yourself a larger margin of safety
- Invest in our disciplined, “pension-style” portfolios to reduce volatility
Contact us for more information regarding retirement and how to invest. We would love to help you!
