Trustnet Magazine Issue 17 April 2016 | Page 8

WE’RE ALL LIVING LONGER, SO HOW DO I FUND MY RETIREMENT? Henderson’s Alex Crooke explains how to generate a sustainable income while interest rates and bond yields are so low T he good news is we are all living longer. Advances in medicine and healthier lifestyles have led to an increase in the average life expectancy of both males and females. Also, the number of people about to enjoy retirement is set to grow by 50 per cent over the next 20 years. 6 The bad news is we have to find ways of funding that retirement and longevity. But low interest rates and bond yields – the traditional sources of income – aren’t sufficient to sustain a proper living. We think an attractive alternative is equity income. So how does the UK dividend market fare up? Headlines in the newspapers have been recently trustnetdirect.com