More than half of planners' clients will be retired over next five years  

For Release: September 9, 2008 

DENVER, Colo.… September 9, 2008… As millions of baby boomers march toward retirement, the demand for retirement income planning will grow dramatically, according to a new study conducted by the Financial Planning Association^® (FPA^®) and sponsored by Transamerica.

According to the 2008 FPA Financial Planner Attitudes and Perceptions about Retirement Income Planning study, demand for retirement income planning, retirement income products and services, is increasing, driven by a greater understanding on the part of Americans of the important differences between the two broad phases of retirement—the accumulation or preparation phase and the distribution or income phase.
This trend is likely to continue as baby boomers age and become compelled to learn more about retirement issues and solutions, according to Diversified Services Group, which conducted the survey in conjunction with FPA and Transamerica.

In fact, financial planners expect retirement income planning to be a key foundation of both their short- and long-term business growth. Over the next 12 months, nearly one-quarter of advisers surveyed report that more than 50 percent of their new clients and assets will come from IRA rollover activities alone. What's more, financial planners surveyed report that 50 percent of their clients will retire over the next five years.

For financial planners, this study demonstrates the need for them to become subject matter experts in retirement income planning as well as the need for them to examine their practices and how their revenue, revenue mix and profitability could change as their clients retire. "The findings in this report point out that there is a significant spike in consumers' appetites for help in retirement income planning, and advisers who become the subject matter experts in this area are the ones who will continue to find success as the market shifts due to demographics and the changing reality of what retirees' need to do in their retirement years," said Will Prest, chief marketing officer of Transamerica Retirement Management, Inc.

The study, the third annual study of its kind, is available for purchase by FPA institutional members $7,500. Nonmembers can purchase the study for $10,000. To learn more about or to purchase this study, please send e-mail to ResearchCenter@FPAnet.org.

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