SOURCE: Wealth2k

March 17, 2008 10:15 ET

Wealth2k® Introduces Innovative Post-Retirement Income Solution

Creates Website to Highlight Competitive Advantages in Communications, Investing Framework, Compliance

CANTON, MA--(Marketwire - March 17, 2008) - Financial advisors and broker-dealers face a massive yet challenging business opportunity in terms of helping Boomer clients generate durable, inflation-adjusted retirement income. Today, Wealth2k introduced The Income for Life Model® v.2.0, a competitively-advantaged, post-retirement income distribution solution. A new website,, describes six areas that help define that competitive advantage:

1. A time-tested financial model (time-segmented, "laddered" asset
2. The inclusion of advisor-centric communication technology that educates
   investors in a confidence-building manner
3. An illustration engine that allows for the flexible design of suitable
   income-generation frameworks using strategic product combination
4. The capacity for compliance officers to manage the entire program in
   real-time across complex distribution networks
5. An online process to determine an investor's true need for guaranteed
   versus non-guaranteed retirement income
6. A "cross-religion" investing framework that blends guaranteed outcome
   elements with time-segmented asset allocation

According to Wealth2k founder, David Macchia, "The Income for Life Model v.2.0 provides financial advisors and broker-dealers with an easily implemental, scalable strategy for approaching Boomer retirement distribution as a business. It incorporates technology that allows for mass education of investors in an advisor-centric manner."

Compliance-enhancing technology is a key advantage offered by The Income for Life Model v.2.0. Compliance officers have complete authority over all aspects of the solution landscape. Web-based, real-time management provides transparency assuring that, on an advisor-by-advisor basis, all investor-facing components feature appropriate broker-dealer disclosure.

"Cross-Religion" Framework

In line with the latest thinking on retirement income, The Income for Life Model v. 2.0 illustrates guaranteed income sources such as lifetime annuitization and variable annuity guaranteed income riders within the larger "laddered" strategy framework. Says Macchia, "Advisors easily illustrate guaranteed outcome elements for situations where clients require the security of lifetime guaranteed income. Combined with the period-certain income streams created by the time-segmented model, the total solution provides stability, predictability, generous rates of income and upside growth potential in one easy package."

Assessing Investor Tolerance for Retirement Income Risk

The Income for Life Model v.2.0 also features an online process for determining an investor's need for guaranteed versus non-guaranteed retirement income. "Not all retirement income sources are created equally," explains Macchia. "Some income sources, like lifetime annuitization and GMWB riders, are guaranteed. Others are not and, in fact, are derived through long-term risky investing."

The key question is how much of each type of income does an investor really need? "Our solution answers this question and helps advisors determine both the percentage of investment that should fund a guaranteed income vehicle and the rates-of-return targets that should be used for the long-term investing component. This improves the overall approach for income-generation on behalf of investors and distributors."

Superior Context for Variable Annuities

Additionally, having process and context behind the selection of variable annuities may prove valuable in post-sale review. "Simply put, the annuity is better positioned, not as the solution to retirement income needs, but rather a vital component of a larger, more strategic income distribution plan. This is an important distinction that may boost market share for VAs."

The Income for Life Model is available with a universal license for broker-dealers seeking a firm-wide strategy for retirement income. Individual advisors may also license the program by visiting

About Wealth2k®

Wealth2k, Inc. ( is a developer of compliant, business-building solutions for financial services companies. Its products feature advanced communications technology, innovative storytelling and transparent, web-based management.

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