A new era has dawned
Most wealth and retirement plans have the same problem: the longer you might live, the less you can risk spending today.
Don’t let your pension run out of money
we’re likely to see a lot of people running out of money in later life.
Even Rich Retirees Fear Outliving Their Money
Retirees worry they will live too long to enjoy their money.
Americans are more scared of going broke in retirement than death
64% of respondents across generations said they are more stressed about running out of funds in their golden years than the prospect of death
Meet the rich retired boomers who are now ultra-frugal because they are scared of going broke
Even boomers who have retired with at least six figures in savings are feeling the pinch.
For decades, the financial industry had focused on one question:
How do we help people accumulate more wealth?
More savings. More contributions. More growth. More returns.
Then academics started to ask a different question:
How do we help people get more retirement from the wealth they already have?
Death pools can bring financial security for the long-lived
Academics, as well as some asset managers and actuaries, think that an adapted form of tontine might be just the product to provide insurance against the risk of outliving one’s savings.
Tontines: not such a murderous idea
They are not so different to annuities, except a saver rather than an insurer benefits from residual capital. Time to give tontines a reboot.
Executive Order 13440
Every American preparing for retirement should have access to lifetime income investment strategies including longevity risk-sharing pools.
Retirement Tontines: Using a classical finance mechanism as an alternative source of retirement income
Tontine-style products could play a significantly broader role in financing the retirement of U.S. households. Such products could provide higher returns than annuities do
The advantage of the tontines is about sharing the mortality risks
We are going to see (National Tontines) soon
Results suggest that a model that operates on a Tontine principle offers several key benefits over a CDC design.
This suggests that Collective Drawdown offers two attractive advantages over CDC: protection against poor economic performance, and a higher retirement income overall.
Why Tontines Should Be a Piece of the Retirement Solution
Old-fashioned tontines are a modern option to cut fees and manage retirement money.
What is a Tontine?
By sharing longevity riskLongevity risk is the risk that you live so long that your savings run out. Research shows that between 60-70% of savers at, or near, retirement fear running out of money in old age more than dying., they help members turn wealth into lifetime income more efficiently.
Members receive monthly distributions for as long as they remain alive. When a member passes away, their remaining assets remain within the tontine and are redistributed among surviving members.
The result is not better investment performance, but better wealth utilisation.
By sharing longevity risk, tontines enable every member to enjoy a higher standard of living throughout their lifetimes than would be possible if each one had to make their own plan for living a very long life.
How It Works
The simple, natural way to control your financial future.Form the Trust Online
Register to establish and contribute to your private individual lifetime Trust.
Choose one or more reserve assets to provide a long-term store of value.
Enjoy the flexibility to to start your monthly distributions at any time.
Pool Longevity Risk
The Trust is joined to a Tontine Class of members of the same sex and similar age.
As members pass away, leftover assets are shared among the surviving members of the Class.
These asset transfers, together with any asset performance, help power the lifetime payouts.
Start Spending
Sign in monthly to authorise payments to your bank account or Tontine Card.
Review your expected distributions based upon asset prices and longevity transfers.
Optimise your preferences between the payouts you want now versus the ones you could receive later.
Why do people choose a Tontine Trust?
Tontine Trusts are the smart way to secure a steady passive income for life.Get More Years From Your Wealth
- Most wealth strategies focus on accumulating wealth.
- Tontines help members get more from the wealth they already have.
Spend More Today
- 70% of savers at, or near, retirement worry constantly about spending less in case they live too long.
- Tontines enable members to enjoy more of their wealth today while remaining protected for every tomorrow.
Live Long & Prosper®
- Traditional wealth strategies & retirement plans either ignore longevity or treat it as a risk.
- Tontines convert longevity into a source of return.
- The longer members live, the more they can benefit from longevity pooling.
Hold The Assets You Trust
- Choose from a mix of assets for the trustee to hold in custody.
- Pick from long term assets expected to resist inflation such as Gold, Silver & Bitcoin.
- The advantage comes from how you use your wealth, not from an investment strategy.
A Lifetime Income in your pocket
Our simple to use mobile apps make sure that you can control your monthly income from the comfort of the beach or golf course.
Use the 'Tontinator' to illustrate potential income
Estimates are based upon mortality rates and asset values which change regularly
The Tontinator is part of the patented Tontine administration platform. Many new features are still in testing and will be deployed soon.
Illustrations are based upon reasonably expected asset values and average life expectancies which change over time.
Therefore the illustrations and the actual distributions received will vary in response to realised changes in the value of the assets and the realised mortality of members of the Tontine Class to which you are assigned.
Annuity rates, where shown, are estimated based upon currently advertised rates from sources which we believe to be reliable.
The Tontinator is for illustrative purposes only and there is no guarantee that these results will be achieved by any of the members.
Prospective members should consider their personal circumstances and risk tolerances before establishing a Tontine Trust. Consult an advisor where appropriate.
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