A new report shows so-called Peak 65 women are more than twice as likely than Peak 65 men to purchase an annuity if recommended by their financial advisor.
Excuse us for asking, but why isn’t this substantial deviation piquing more advisors’ interest?
According to a study out Tuesday from the Alliance for Lifetime Income, 43% of Peak 65 women — those 61 to 65 years old — with a financial professional who recommended an annuity bought one, compared to 20% of Peak 65 men. The study also revealed that 48% of Peak 65 women are interested in owning an annuity that guarantees them and/or their spouse a regular amount of lifetime income, compared to 37% of Peak 65 men.
Peak 65 refers to a historic demographic moment in 2024, a year when the U.S. will see the greatest surge in the number of Americans turning the traditional retirement age of 65 at any time in its history.
Put plainly, the demand from women in this age cohort is clearly there. What does not seem to be there, however, is the familiarity with the product.
The survey showed Peak 65 men are twice as likely to be familiar with annuities as women. Moreover, 59% of Peak 65 women who work with a financial professional say their advisor doesn’t discuss annuities with them, or if they do, they’re unaware, compared to 44% of Peak 65 men.
Once again, sorry for the question, but with more than 10,000 men and women in America currently turning 65 every day — a number that will increase to over 12,000 before the country hits Peak 65 next year — why aren’t more financial advisors actively targeting this female demographic for annuity sales?
“Today, women control a third of total household assets, estimated at more than $10 trillion. Financial professionals who ignore the unique
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