Lowes Magazine Issue 128

INSIDE TRACK

Realistic retirement expectations

Recent research by retirement specialist, Royal London found that 38% of people under 35 plan to retire by age 60, yet 73% admitted they are unsure how much money they will need to sustain their goal. Stopping work by age 60 would require saving enough to cover three decades or longer in retirement. According to benchmarks set by the Pensions and Lifetime Savings Association, currently a single person will need around £13,000 a year to achieve the minimum living standard, £23,000 a year for a moderate existence and £37,000 a year for a comfortable standard of living, excluding housing costs. Add inflation into the mix and those figures grow year on year. While those in their 30s have the advantage of time and investment compounding to help build their pension pots, these figures emphasise the need for strategic planning when it comes to your retirement or utilising your pension saving and investments – ideally with the help of an Independent Financial Adviser. Lowes wins Investment Adviser of the Year Lowes has added another Adviser of the Year in the 2023 ILP Moneyfacts Awards. Doug Millward, Investment Manager and Paul Milburn, Senior Investment Analyst, (both pictured centre) received the award on behalf of Lowes at the ceremony in London. The award win is not just a testament to the independent investment advice which Lowes provides but to the culture and hard work of everyone in the company. award win to our growing tally, having been named Investment

Daunting cost of university education Although the cost of putting children through university is growing ever more daunting, over half (52%) of parents surveyed by the Association of Investment Companies consider this to be their top priority when it comes to helping their children out financially. This is far greater than the 31% who prioritise financially helping their child on to the housing ladder. More than half (54%) of current or prospective university students surveyed, said the cost had made them consider not going to university. Many put money into deposit accounts when saving for their children’s futures, but with inflation still markedly higher than the best interest bearing cash accounts, it simply isn’t going to be enough. With a five to ten year horizon, we believe the long term growth potential of a diversified portfolio of investments has a better chance of delivering on this financial goal. There are greater risks involved with investing over cash saving, which must be considered, and this is where a qualified financial adviser can help.

The content of the articles featured in this publication is for your general information and use only and is not intended to address your particular requirements. Articles should not be relied upon in their entirety and shall not be deemed to be, or constitute, advice. Although endeavours have been made to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No individual or company should act upon such information without receiving appropriate professional advice after a thorough examination of their particular situation. We cannot accept responsibility for any loss as a result of acts or omissions taken in respect of any articles. Thresholds, percentage rates and tax legislation may change in subsequent Finance Acts. Levels and bases of, and reliefs from, taxation are subject to change and their value can go down as well as up and you may get back less than you invested. Past performance is not a reliable indicator of future results.

Amsterdam, Netherlands in Autumn Photo: Shutterstock

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LOWES Issue 128 · Published October 2023