A news release said the Savings Products Division will create and package new products and planning tools that encourage efficient savings. The division’s first offering will serve individuals or households who have an interest in guaranteed income, yet are willing to accept some risk to beat inflation, and those who have not yet built a complete financial strategy, the company said.
Initially, a majority of assets are expected to come in as IRA rollovers, as people retire and require an analysis of next steps to achieve a retirement that could last longer than their total working years. To that end, MassMutual financial advisors will use financial modeling software being designed by eMoney Advisor that analyzes data in real time and enables them to identify specific products to help achieve a client’s retirement-income goals, according to the announcement.
“While the ultimate goal is to be able to produce a lifetime of income, we recognize that longer life expectancies require flexibility in retirement-income solutions that balance the need for secure income with the desire to earn market-based investment returns,” said Terri Forde, president and CEO of the new division. “The financial products and services that once met the needs of 20th century retirees will likely prove inadequate for the evolving needs of people who could, today, conceivably live a generation or more in retirement.”