Acenda Life has launched a new guaranteed retirement income solution designed to provide Australians with financial confidence, as the latest research shows Australians are increasingly worried about running out of money in retirement.

The launch marks Acenda Life’s entrance into retirement, bringing Australians more choice in retirement income. Acenda Life’s Lifestream Guaranteed Income is a modern retirement income solution, and addresses the challenges posed by longer lifespans by providing predictable, guaranteed income for life, even when unexpected events occur.

The launch comes as 40 per cent of Australians aged over 45 are concerned about running out of money in retirement, amid rising living costs and uncertainty about how long savings need to last.

A new research paper by CoreData explores factors leading to retirement uncertainty, and the need for Australians to have access to new income solutions providing confidence when planning for retirement. The Paper found:

• The amount pre-retirees think they need to retire has increased by 18 per cent over the past two years to $953,550.
• 87 per cent of working Australians believe the age pension is insufficient for a comfortable lifestyle.
• The proportion of the Australian population aged over 65 will double by 2060 with a 65- year-old male expected to live 20 years in retirement, and a female another 23.
• Only one in 10 Australians feel comfortable with their financial wellbeing all the time and only 41 per cent understand how to reach their retirement goals.

Sean McCormack, Acenda Chief Commercial Officer, said:

“A dignified retirement is a financial and social imperative for all Australians. With Australians living longer and living costs rising, retirees are worried about whether their savings will be enough.

"There is a clear opportunity for the industry to create more predictable retirement income solutions, that give Australians confidence and certainty in their financial future.

"Building on over a century of protecting Australians, Acenda Life is uniquely positioned to be a leader in the concentrated and underserved retirement sector. Backed by the strength of Nippon Life, Acenda has the scale, deep expertise and a proven investment capability to provide retirement solutions that will improve financial outcomes for retirees.

“This is the first in a suite of modern retirement solutions we’re building in response to the growing need for financial confidence.

"Our new solution, Lifestream Guaranteed Income, helps older Australians retire with confidence. Together with tailored financial advice, it can provide predictable retirement income and reassurance that payments will continue, even when markets or circumstances change. That certainty becomes increasingly important over longer retirement periods, while helping to counter market volatility and rising living costs.”

McCormack said financial advice is critical to help Australians understand their retirement needs and reiterated Acenda Group supports the full implementation of the Federal Government’s Delivering Better Financial Outcomes (DBFO) reforms.

“Planning for retirement is one of the most important financial decisions Australians will make and it’s important they can also get access to affordable and tailored advice to help them prepare for what should be the best years of their lives,” he said.

“We provide financial advisers with easy-to-use digital tools and access to retirement specialists, so they can generate instant quotes for their clients. This provides another layer of confidence as Australians plan their financial future.”