Industry first from Sun Life helps Canadian retirees transition their savings into income
A first of its kind in Canada – an 'all-in-one' target age solution that simplifies retirement income
TORONTO, Sept. 26, 2024 /CNW/ - Five million Canadians will turn 65 this decade and be one step closer to retirement. Today, Sun Life introduced Sun Life MyRetirement Income, an innovative first for Canadians that provides retirees with a reliable source of income, while maintaining flexibility and the potential for continued investment growth. This fully automated solution can help ease the transition from saving to drawing income in retirement.
"With 40% of Canadians worried about outliving their savings, providing support and sustainable retirement income is essential," says Eric Monteiro, Senior Vice-President of Group Retirement Services at Sun Life. "Retirement should be a time of relaxation and enjoyment, not financial stress. We knew we had to find a solution to simplify the process to make Canadians' money last. Sun Life MyRetirement Income ushers in a new era of decumulation for Canadians."
Designed to be simple because retirement is complex
This fully automated solution, designed in collaboration with Sun Life Global Investments, is an easy and flexible way to help Clients' savings last to the age they want ('maturity age'). Currently, no solution in Canada combines all three of the below benefits in one offering.
- Reliable income that lasts. The solution turns savings into income all the way through to the selected maturity age. Clients will receive regular payments delivered directly to their bank account, similar to a paycheque.
- Flexibility. Individuals can change their maturity age and decide how often they receive payments. They also have full access to their account balance. Money can be withdrawn or added at any time, without fees or penalties.
- Opportunity for growth. Clients can continue to grow their savings throughout retirement. Their savings are invested in a well-diversified portfolio that is specifically designed for individuals in retirement, properly balancing risk and return to generate stable investment returns.
"Sun Life Global Investments is proud to be leading the industry with this market-first solution that addresses a significant gap in retirement solutions for Canadians," says Oricia Smith, President, SLGI Asset Management Inc. and Senior Vice-President, Investment Solutions, Sun Life Canada. "The need for financial advice doesn't end in retirement. This unique category of target age solutions automates retirement income, and Canadians benefit from built in advice. It takes the guess work out of retirement and helps their money last so they can enjoy life with financial confidence."
Clients have one important decision to make – the maturity age, 85, 90, 95 or 100. Each year, payments will be recalculated based on a Client's account balance. These payments will also reflect investment performance and any changes a Client made throughout the previous year. In the accumulation phase, target date funds automate the savings journey for plan members, and the complex investment decisions are taken care of by the professionals. The solution allows for a fully automated experience, simplifying retirement income for Clients so they can focus on living their best retirement.
Sun Life MyRetirement Income is exclusively available through our Client Solutions Centre to Sun Life Group Retirement Services plan members transitioning into retirement.
Learn more about Sun Life MyRetirement Income now.
About Sun Life
Sun Life is a leading international financial services organization providing asset management, wealth, insurance and health solutions to individual and institutional Clients. Sun Life has operations in a number of markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Australia, Singapore, Vietnam, Malaysia and Bermuda. As of June 30, 2024, Sun Life had total assets under management of $1.46 trillion. For more information, please visit www.sunlife.com.
Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.
About Sun Life Global Investments
Sun Life Global Investments was purpose built to combine the strength of Sun Life with some of the best asset managers in the world. Since then, we've become a trusted wealth management firm for so many Canadians—managing over $58 billion across a diverse selection of retail mutual funds, insured wealth products, pension funds and other institutional funds, including $12 billion in our flagship Sun Life Granite Target Date Funds (as of June 30, 2024). As part of the Sun Life group of companies we have access to a depth of resources, giving us (and ultimately our Clients) unique advantages. We are driven by our goal to help plan sponsors deliver the best possible retirement for their members. And our unique advantages help us continually enhance our funds and develop new and innovative solutions to achieve this goal—to and through retirement. For more information visit www.slgiinstitutional.com.
Sun Life Global Investments is a trade name of SLGI Asset Management Inc., Sun Life Assurance Company of Canada and Sun Life Financial Trust Inc. all of which are members of the Sun Life group of companies.
Note to editors: All figures in Canadian dollars
Media Relations Contact:
Alexandra Dalipi
Manager
Corporate Communications
T. 416-526-6881
[email protected]
SOURCE Sun Life Financial Inc. - Financial News
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