From: BreadWithSpam@fractious.net
Newsgroups: misc.invest.financial-plan
Subject: Re: longevity annuities
Date: Thu, 25 Oct 2007 21:38:24 -0500
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Dave Dodson  writes:

> exactly that. More specifically, the Fidelity Income Replacement Funds
> come maturities in the even-numbered-years from 2016 to 2036, and are
> designed to distribute approximately inflation-adjusted monthly
> payments until the maturity year. See fidelity.com for more details.

Serious bummer if you live longer than you plan for, though.

Which is exactly why there are annuities...

I haven't yet figured out exactly who those funds are for.

Unless folks have substantial enough wealth that they can take
distributions fairly conservatively, the downsides of outliving
their wealth are *huge*.   In the generations where more folks
had pensions, the pensions protected them from that risk.  Folks
who are taking charge of their own retirement payouts need to
manage planning for the chance that they live long lives.

Back to the original article, those deferred "longevity" annuities
in conjunction with one of those fidelity Income replacement funds
might just do the trick.  Of course, if you add those two pieces
together, all you've done is reconstruct an immediate annuity for
the most part.


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