Considering AIA Platinum Retirement Elite

The vast majority of people in Singapore underestimate the amount of funds they need to set aside to maintain, even a semblance of their current standard of living, for retirement.  Here are some points to consider.

Firstly, because we have one of the longest life spans in the world, the average Singaporean is expected to live to around 80 years of age.  Assuming the average person retires at age 65 years, we are looking at a period of at least 15 years, likely more.

Secondly, compounding goes both ways.  Just as we utilise the power of compounding to increase our investment value over time, we must be aware that inflation compounded over time severely erodes the value of our savings kept anywhere with a return lower than the inflation rate.

Finally, we have to consider that medical inflation is well over double digits.  As we get older, those costs pile up, and should be factored in.  Medical bankruptcy is a real concern for many people, and has to be factored in, to be adequately addressed.

In that light, we recommend considering AIA Platinum Retirement Elite as a viable option to address, in total, or in part, the needs of retirement.