decumulation

decumulation

(ˌdɪkjuːmjʊˈleɪʃən)
n
(Accounting & Book-keeping) a decrease in amount or value
References in periodicals archive ?
I am conscious that we hear this a lot in the advice space nowadays, but I think it bears repeating that the policy changes we've seen around decumulation really are transformational for your profession.
That can be remedied by making them automatic in enrollment and in escalation of the default contribution rate, as well as fixing the decumulation side by providing an income mechanism within the plan.
With respect to providing pooled-risk annuitized decumulation options from a retirement plan, the ITA Regulations require "that retirement benefits payable under a money purchase provision must be provided either through annuities purchased from a licensed issuer or under an arrangement acceptable to the Minister (ACPM 2017).
You can't apply those ideas to decumulation -- that's about cash flow, volatility around that cash flow, and longevity.
You can't apply those ideas to decumulation - that's about cash flow, volatility around that cash flow, and longevity.
Annuities are part of the answer, and being able to offer advice about how to pick the right option will be crucial because choosing a decumulation strategy is much harder" than selecting an investment.
iRetire[R] can now deliver a comprehensive accumulation and decumulation framework for estimated sustainable retirement income that financial advisors can tailor to each client's unique circumstances and preferences.
Despite all of the industry discussion about DC account decumulation and replacement income, such adoption of a lifetime income investment option is still relatively rare.
For the change also requires a shift in one's financial orientation -- from savings accumulation to decumulation.
With a mean age of 63, a lot of these folks are well into their decumulation phase and not exactly the target market for most independent advisors.
Alternative explanations for avoiding annuitisation include: bequest motives; health and long-term care costs in old age; the existence of pre-annuitised wealth via the state pension; the effect of means-tested benefits; the option value of deferral of annuitisation to later ages; selection effects; and alternative optimal decumulation strategies.
The resulting high demand pressure in the FX market and the decumulation of foreign reserves are likely to limit liquidity and profitability of the banks.