It used to be that our golden years were spent relaxing. We played leisurely games of golf or tennis, caught up on our reading, spent time with family, maybe took a few trips we’d never been able to before.
That is still the case for some retirees these days. However, as our health and life expectancies have increased, many older adults are finding that they’re not quite ready to embrace the “traditional” retirement lifestyle.
In fact, many seniors are using their retirement years to embark on brand new adventures in their working lives, from changing careers to starting businesses. I know this myself first-hand. After a long career in insurance, which was preceded by my first career as a school principal, I joined Ashar Group because I just wasn’t ready to make that leap into being retired.
Just 20 years ago, the life settlement industry was seen as more of a fringe investment class than anything else.
There was little discipline, very few regulations, and many people - even investors and brokers themselves - were unsure of the best way to go about selling or purchasing this type of asset.
Today, however, the picture is very different. The life settlement industry has caught up with other financial industries in terms of regulation and compliance. Reputable life settlement brokers - like Ashar - hold licenses and must operate under strict regulations just like insurance professionals and financial advisors.
These developments have helped bring the life settlement industry into the mainstream for alternative investments.
“Things change, but they never stay that way.” Isn’t that something the baseball king of misspeaking, Yogi Berra, said?
Either way, there’s a kind of ridiculous wisdom there that can be applied to almost any situation. Things do change - and then they change again.
Financial advisors know this truth well. Stocks go up and down. Interest rate fluctuations make what was formerly a great investment into just a so-so one. Clients’ life circumstances change – children graduate college, retirement looms, and the need for long-term care arises.
These are the reasons routine portfolio reviews are absolutely essential. Whether we do them for our own finances or for clients, we all know how important it is to regularly take a look at where our money is, how our money is performing, and what we can do to make it perform even better.
When undertaking these portfolio reviews, many financial advisors, no matter how knowledgeable they might be, tend to overlook one important potential strategy: a life settlement.
Whether this is due to a lack of familiarity with the process, misconceptions about the ethics of selling one’s life insurance to institutional investors, or simply not realizing it could be an option for a client, financial advisors can greatly benefit both their clients and themselves by giving this option a serious look.
At Ashar, we work with financial advisors and their clients - many of whom are retired or are about to retire - every day. Part of the reason we do what we do is because we believe we have a responsibility to help our seniors retire comfortably and well, as free from financial stress as possible.
For some seniors, liquidating an unneeded life insurance policy through a life settlement is one way to do that. But of course, that’s not all it takes to live well in retirement. A knowledge of potential financial pitfalls, ways to manage risk and unexpected expenses, and other basic retirement issues - combined with the advice of your financial advisor - can be a great help when it comes to retiring comfortably.
Life settlements can be excellent tools for individuals who need to unload life insurance policies that have become costly and burdensome - but they’re not the only ones who can benefit from this Secondary Market Solution.
Businesses and nonprofits may also have circumstances in which a life settlement may be a prudent choice. Here’s a look at two situations in which this could be the case.
When retirement comes at the same time for both members of a couple, the life changes can be overwhelming. There’s the excitement of having time to get to know your spouse all over again; the curiosity of what spending that time together will be like; and the anticipation of the projects, trips, and other “bucket list” items you’ll complete throughout the coming years together.
And let’s not forget the most basic question that nearly every couple has at one point or another: “Will we be able to spend that much time together without wanting to kill each other?”
Add to this the normal worries and fears that come with taking that step into retirement, times two, and you’ve got a pretty full emotional pot. To help you cope with this major change, here are a few tips for retiring with your spouse.
Despite the relaxing and fun images that the word “retirement” calls up - sitting on a beach, traveling with your spouse, spending one’s mornings golfing or gardening - this phase of life isn’t always what prospective retirees expect.
There are potential financial issues for one, which we’ve talked about at length on this blog and for which life settlements can sometimes be a helpful solution. But what about emotional issues? How do we go about solving those more subtle, complex problems?
One thing that can make it hard for people to deal with the emotional issues of retirement is that it’s often very hard for us to talk openly about them, even with our spouses or close friends. We might feel ashamed, or needy, or as if we’re burdening others with our problems.
Of course, this shouldn’t be the case. Just as I’d want to know if one of my family members was going through a difficult time, so would my family want to know if I was having trouble adjusting to a new situation like retirement.
The other thing that can make these issues particularly insidious is that we humans are experts at denial. We may pretend to ourselves that everything is fine, or that we’re just having a bad day, when the truth is that we’re just not happy.
The good news? A lot of the time, these emotional issues can be resolved fairly easily. Remember, however, that if you think you might be suffering from depression or another serious illness, lots of help is available - all you need to do is seek it out.
Are you having difficulty adjusting to your new retirement lifestyle? Here are 3 signs that retirement is stressing you out, and what to do about it.
We know, we know: the financial industry isn’t exactly known for always being on the cutting edge of technology. Despite the talk that crops up every now and then about the advent of robo-advisors, much of our work is still done in-person or over the phone. We like talking to people the old-fashioned way: with our voices.
However, we’ll also be the first to admit that technology has a lot to offer our profession. If it helps us do our jobs better, we’re in (that’s why we recommended these five apps for financial advisors.)
Today’s seniors are different from those in previous generations. Thanks to developments in medicine, health science, and culture, people ages 65 and older today are living more vibrant, long, and healthy lives than ever before in our history.
Not surprisingly, this means that retirement today often looks very different from what it was 30, 40, of 50 years ago.
Sometimes as we grow older, new living arrangements become necessary. Perhaps you need to cut costs, so you’re either taking in a roommate or moving in with a family member. Maybe you’ve sold your house, and need a place to live while finding a new living situation more suited to your needs. Or maybe you need a little extra help with daily tasks, and an adult child has asked you to move in with him.
Whatever the reason, going from a completely independent lifestyle to one that will be impacted by your new housemates can be a bit scary. But one way to lessen that trepidation is to talk about the new arrangement clearly and openly, so that everyone involved knows what is expected of them. Here are a few things to put on your “to discuss” list.
