Latest news with #AllianzLife
Yahoo
3 days ago
- Business
- Yahoo
How To Protect Your Money From a Stock Market Crash at Every Age
According to a recent Allianz Life survey, 51% of Americans admitted to being worried about another stock market crash and 67% were worried that their short-term investments didn't have adequate returns to fight against inflation. Read Next: Discover Next: Since a stock market crash is a natural occurrence in market cycles, you'll want to focus on doing your best to successfully navigate one. We will explore how every age group can navigate a stock market crash without losing money in the long term and how people should react differently based on their life stage. How can you protect your money from a stock market crash at every age? If you're young enough (age 13 to 28), you don't have to worry as much about losing your money in the stock market since you have time. 'A crash isn't a reason to abandon investing altogether,' said Michael Rodriguez, certified financial planner (CFP) and owner of Equanimity Wealth. 'If you're investing for the long haul (and at your age, you should be), downturns are part of the journey.' Check Out: Staying consistent and avoiding the temptation to try to time the market will help protect your money. Since you have time on your side, you just have to focus on staying consistent and diversified. Rodriguez noted that since so much of Gen Z's investing information comes from TikTok and Reddit, you'll want to be careful about accepting investing advice. If something sounds too good to be true, it usually is. While cryptocurrency and certain stocks can feel exciting because of the potential returns, you'll want to ensure that your entire portfolio isn't in volatile assets because a market downturn could wipe out your portfolio. 'You don't need to abandon what you enjoy investing in, but add some balance: bonds, real estate (even REITs) or just plain old boring cash can help cushion the blow when markets fall,' Rodriguez explained. This generation (age 29 to 44) is still young enough not to feel the impact of a stock market crash as much since they're many decades away from retirement. 'Millennials have the ability to bear risk, they just need to develop the willingness to bear a risk and understand that they have time on their side,' said Robert R. Johnson, Ph.D., chartered financial analyst (CFA), chartered alternative investment analyst (CAIA) and professor of finance at Creighton University. 'In my opinion, millennials should not try and protect themselves from stock market corrections or crashes.' Since you're still young enough, you don't have to worry as much about market crashes because you could risk wealth creation by missing out on compound interest by avoiding investing. David Materazzi, investing expert and CEO of Galileo FX, noted that time is on your side and a stock market crash can help you. He urged millennials to keep buying through market swings by automating investing. Staying invested and buying more when prices drop can help you win in the long run. Jordan Mangaliman, advisor and owner at Goldline Financial Services, believes that when there's a stock market crash, you should invest more and buy more since the prices are much lower. This is the age group (age 45 to 60) where a stock market crash can get tricky and you'll want to start making changes to your investments to prepare accordingly. Mangaliman noted that you should consider rebalancing your portfolio to manage volatility as you approach retirement. Depending on when you plan to retire and begin distributions from your retirement accounts, you may not have the time it takes for the market to recover. Johnson believes someone in this generation should focus on establishing lower-risk equity portfolios. 'Portfolios of consistent dividend-paying stocks have been shown to do better in market downturns than growth counterparts. I would encourage investors to assemble a portfolio of high-dividend-paying stocks to reduce their risk,' he added. Materazzi shared that you shouldn't get greedy since you're close to the finish line. Instead, you'll want to balance growth with safety and Diversify. Keep some cash and short-term bonds. You don't want to be chasing hot stocks or panicking at this age. This is the age group (age 60 and older) where you're either retired or about to retire, so you can't take as many chances with your portfolio. Mangaliman admited that a stock market crash can be chaotic for your retirement experience if you're in this age group and relying on your investments for your income. 'For retirees in this age group that need a steady stream of income from their investments, it's crucial to rebalance their portfolio to reflect their financial goals,' he explained. You're not trying to grow fast because the goal is to ensure you don't run out of money. 'When a person is within a few years of retirement, say five years, they should begin to reduce their risk exposure in retirement accounts,' Johnson said. 'A large downturn in the equity markets immediately preceding retirement can have devastating effects on an individual's standard of living in retirement.' As a retiree, you should maintain a healthy allocation to ensure you have the income to cover your expenses in your golden years. Materazzi suggests keeping three to five years of living expenses in cash or short-term bonds. If you have enough money invested to cover your expenses, then you've already won and you shouldn't gamble. 'With all of the above groups, I would strongly urge them to develop an investment policy statement and establish an investment strategy that takes into account their unique circumstances and risk tolerance. The worst mistake people can make is to react and change their investment strategy as a result of market circumstances,' Johnson added. More From GOBankingRates How Much Money Is Needed To Be Considered Middle Class in Every State? This article originally appeared on How To Protect Your Money From a Stock Market Crash at Every Age
Yahoo
6 days ago
- Business
- Yahoo
More Scared of Going Broke Than Dying? 9 Ways To Beat Retirement Anxiety
Most people don't like thinking about death but for many, the idea of running out of money in retirement is even scarier. A new study from Allianz Life found that 64% of Americans feel stressed about the possibility of outliving their savings, a fear that cuts across age groups and financial backgrounds. Janeil Pierre, an accredited financial counselor and the author of 'The Money Confidence Code,' said it's not just a fear rooted in financial hardship, but 'the emotional and psychological toll of watching one's quality of life decline after decades of work.' Pierre and other experts offer some tips to beat this anxiety by being prepared. Check Out: Read Next: Clarity is the first step, Pierre said. 'Define what a financially secure future looks and feels like for you. Do you want to travel, downsize, support family or simply maintain your current lifestyle? Having a clear vision provides a foundation for action.' Robert R. Johnson, PhD, a certified financial analyst and professor of finance in the Heider College of Business at Creighton University, refers to this as 'a roadmap,' or an 'investment policy statement' (IPS), a tool that 'takes into account the investor's time horizon, risk tolerance, goals and objectives and unique circumstances. An IPS is unique to an individual.' Once that's in place, calculate your retirement needs, create a plan, automate your savings and regularly check your progress. The more intentional you are, the more empowered you'll feel, Pierre suggested. See More: Another approach is to work backward, Johnson said. 'That is, they need to establish a budget in retirement and calculate how much they need to save and invest to achieve that goal.' Using a reliable online calculator, such as the one on or Fidelity, can help, Pierre added. 'Aim to replace 70%-80% of your pre-retirement income annually in retirement; personalized tools will give you a clearer picture,' she said. Knowledge replaces fear. Additionally, determine a realistic budget, Johnson said. 'Oftentimes, people underestimate their expenses in retirement.' Guaranteed income sources, such as Social Security, pensions or certain types of annuities, can provide peace of mind due to their stable and predictable cash flow, regardless of market conditions, Pierre said. 'Knowing you have a fixed amount coming in each month helps cover non-negotiable expenses and reduces dependence on investment withdrawals during market downturns.' Johnson warned, however, that while Social Security may be consistent or reliable, it's likely not enough to retire on for most people. Pierre pointed out that 'money is a mindset long before it's just numbers. A person's beliefs about money directly impact their relationship with it and the reality they experience.' She urged retirees to stop viewing money as something to fear and start seeing it as a tool. 'Fear often arises from not knowing your numbers or feeling ashamed of your past decisions. However, your financial data is just that — data. It tells a story, but it doesn't define your future.' One of the the most significant expense in retirement, and one of the least predictable, is healthcare, Pierre pointed out, so pre-retirees should: Contribute to a Health Savings Account (HSA) if eligible, as it offers triple tax advantages. Estimate healthcare costs realistically. A 65-year-old couple retiring today may need upwards of $300,000 for healthcare in retirement, according to Fidelity. Consider long-term care insurance, especially if there's a family history of chronic illness. Include healthcare premiums, deductibles and out-of-pocket expenses in your retirement budget. Grasping your safe withdrawal rate is very important, as well, Pierre said. 'Withdraw no more than 4% of your retirement portfolio annually, as a starting point. However, it's wise to personalize that amount based on your lifestyle, inflation and market performance.' Retirees may also want to opt for bucketing strategies, where your money is segmented into short-, medium- and long-term needs, can help avoid overspending and hoarding cash out of fear. 'The more visibility and structure you have, the more confidently you can spend,' Pierre said. Working part time or postponing full retirement can alleviate financial pressure and anxiety, depending on a person's overall situation and needs, Pierre said. 'Engaging in part-time work can also provide structure, purpose and social connection, all essential for emotional well-being in retirement,' she pointed out. Pierre recommended a few key habits that can make sure you're on track for retirement: Conducting annual or semi-annual financial reviews to check progress and adjust for new life events. Working with a financial planner or retirement coach to get personalized guidance. Using a retirement tracking app, such as Personal Capital or Empower, to stay informed on net worth, income projections and expenses. Creating a written retirement plan, including income sources, withdrawal strategy, healthcare costs and legacy planning. These habits foster confidence, clarity and a sense of control, replacing fear with strategy. Don't just save — make your money work harder for you, according to Cetin Duransoy, CEO at Raisin GmbH. 'Not all bank accounts are created equal. You can prioritize safe, guaranteed investments like CDs and high-yield savings accounts to earn interest and fight inflation,' he said. Even modest amounts can grow meaningfully over time when placed in competitive, insured savings products, and that kind of consistency is key in a high-cost environment. Overall, remember there are easy ways to improve your financial footing if you know where to look, and every adjustment now helps protect your retirement goals later. Most importantly, don't panic — strategize. More From GOBankingRates 5 Cities You Need To Consider If You're Retiring in 2025 How Much Money Is Needed To Be Considered Middle Class in Every State? This article originally appeared on More Scared of Going Broke Than Dying? 9 Ways To Beat Retirement Anxiety
Yahoo
6 days ago
- Business
- Yahoo
More Scared of Going Broke Than Dying? 9 Ways To Beat Retirement Anxiety
Most people don't like thinking about death but for many, the idea of running out of money in retirement is even scarier. A new study from Allianz Life found that 64% of Americans feel stressed about the possibility of outliving their savings, a fear that cuts across age groups and financial backgrounds. Janeil Pierre, an accredited financial counselor and the author of 'The Money Confidence Code,' said it's not just a fear rooted in financial hardship, but 'the emotional and psychological toll of watching one's quality of life decline after decades of work.' Pierre and other experts offer some tips to beat this anxiety by being prepared. Check Out: Read Next: Clarity is the first step, Pierre said. 'Define what a financially secure future looks and feels like for you. Do you want to travel, downsize, support family or simply maintain your current lifestyle? Having a clear vision provides a foundation for action.' Robert R. Johnson, PhD, a certified financial analyst and professor of finance in the Heider College of Business at Creighton University, refers to this as 'a roadmap,' or an 'investment policy statement' (IPS), a tool that 'takes into account the investor's time horizon, risk tolerance, goals and objectives and unique circumstances. An IPS is unique to an individual.' Once that's in place, calculate your retirement needs, create a plan, automate your savings and regularly check your progress. The more intentional you are, the more empowered you'll feel, Pierre suggested. See More: Another approach is to work backward, Johnson said. 'That is, they need to establish a budget in retirement and calculate how much they need to save and invest to achieve that goal.' Using a reliable online calculator, such as the one on or Fidelity, can help, Pierre added. 'Aim to replace 70%-80% of your pre-retirement income annually in retirement; personalized tools will give you a clearer picture,' she said. Knowledge replaces fear. Additionally, determine a realistic budget, Johnson said. 'Oftentimes, people underestimate their expenses in retirement.' Guaranteed income sources, such as Social Security, pensions or certain types of annuities, can provide peace of mind due to their stable and predictable cash flow, regardless of market conditions, Pierre said. 'Knowing you have a fixed amount coming in each month helps cover non-negotiable expenses and reduces dependence on investment withdrawals during market downturns.' Johnson warned, however, that while Social Security may be consistent or reliable, it's likely not enough to retire on for most people. Pierre pointed out that 'money is a mindset long before it's just numbers. A person's beliefs about money directly impact their relationship with it and the reality they experience.' She urged retirees to stop viewing money as something to fear and start seeing it as a tool. 'Fear often arises from not knowing your numbers or feeling ashamed of your past decisions. However, your financial data is just that — data. It tells a story, but it doesn't define your future.' One of the the most significant expense in retirement, and one of the least predictable, is healthcare, Pierre pointed out, so pre-retirees should: Contribute to a Health Savings Account (HSA) if eligible, as it offers triple tax advantages. Estimate healthcare costs realistically. A 65-year-old couple retiring today may need upwards of $300,000 for healthcare in retirement, according to Fidelity. Consider long-term care insurance, especially if there's a family history of chronic illness. Include healthcare premiums, deductibles and out-of-pocket expenses in your retirement budget. Grasping your safe withdrawal rate is very important, as well, Pierre said. 'Withdraw no more than 4% of your retirement portfolio annually, as a starting point. However, it's wise to personalize that amount based on your lifestyle, inflation and market performance.' Retirees may also want to opt for bucketing strategies, where your money is segmented into short-, medium- and long-term needs, can help avoid overspending and hoarding cash out of fear. 'The more visibility and structure you have, the more confidently you can spend,' Pierre said. Working part time or postponing full retirement can alleviate financial pressure and anxiety, depending on a person's overall situation and needs, Pierre said. 'Engaging in part-time work can also provide structure, purpose and social connection, all essential for emotional well-being in retirement,' she pointed out. Pierre recommended a few key habits that can make sure you're on track for retirement: Conducting annual or semi-annual financial reviews to check progress and adjust for new life events. Working with a financial planner or retirement coach to get personalized guidance. Using a retirement tracking app, such as Personal Capital or Empower, to stay informed on net worth, income projections and expenses. Creating a written retirement plan, including income sources, withdrawal strategy, healthcare costs and legacy planning. These habits foster confidence, clarity and a sense of control, replacing fear with strategy. Don't just save — make your money work harder for you, according to Cetin Duransoy, CEO at Raisin GmbH. 'Not all bank accounts are created equal. You can prioritize safe, guaranteed investments like CDs and high-yield savings accounts to earn interest and fight inflation,' he said. Even modest amounts can grow meaningfully over time when placed in competitive, insured savings products, and that kind of consistency is key in a high-cost environment. Overall, remember there are easy ways to improve your financial footing if you know where to look, and every adjustment now helps protect your retirement goals later. Most importantly, don't panic — strategize. More From GOBankingRates 10 Cars That Outlast the Average Vehicle Are You Rich or Middle Class? 8 Ways To Tell That Go Beyond Your Paycheck This article originally appeared on More Scared of Going Broke Than Dying? 9 Ways To Beat Retirement Anxiety Sign in to access your portfolio
The Sun
6 days ago
- Automotive
- The Sun
Allianz Malaysia starts FY25 on strong note as insurance revenue, gross written premiums and assets grow
PETALING JAYA: Allianz Malaysia Bhd recorded insurance revenue of RM1.53 billion for the first quarter ended March 31, 2025, an increase of 14.3% over the RM1.34 billion recorded in the same quarter a year ago. Gross written premiums (GWP) for the first three months of the year rose to RM2.01 billion from RM1.90 billion the year before. The group's total assets as at March 31, 2025 stood at RM28.59 billion compared to RM28.49 billion as at Dec 31, 2024. 'We started the year strong, sustaining the momentum from the previous year with both our life and general subsidiaries growing strongly. Going into the second quarter and beyond, we remain focused on driving key initiatives to fulfil the needs of our customers and agents, while staying agile and adaptable in growing the business. We are also constantly striving to be the trusted partner for protecting and growing our customers' most valuable assets,' said Allianz Malaysia CEO Sean Wang. The general insurance subsidiary of the group, Allianz General Insurance Company (Malaysia) Bhd, recorded RM978 million in GWP for the quarter in focus, reflecting a 10.6% increase from RM884.6 million a year earlier. The general insurance segment posted insurance revenue of RM862.5 million in the first three months of 2025, an increase of 14.3% from RM754.8 million the year before. Profit before tax (PBT) stood at RM159.7 million, up 20.7% from RM132.3 million recorded the year prior. Allianz General maintained its pole position in the industry with a market share of 14.9%, mainly driven by strong motor and commercial growth. Combined ratio for the first quarter of 2025 improved to 85.8%, compared to 87% in the same quarter last year. 'We saw robust growth in our motor and commercial business over the January to March 2025 period, which strengthened our market leadership and deepened our commitment towards providing the best services to our customers,' said Wang, who is also CEO of Allianz General. The group's life insurance subsidiary, Allianz Life Insurance Malaysia Bhd, saw GWP grow to RM1.03 billion in the first quarter of 2025, from RM1.02 billion a year ago. Annualised new premiums came in at RM213.5 million for the quarter in review, following the RM234.8 million posted in the previous year. PBT rose to RM126.9 million, up 3.8% from RM122.3 million recorded in the corresponding quarter of 2024. Allianz Life's market share as at March 31, 2025 stood at 11.8%, with the company retaining its number four rank in the industry. 'We put our best foot forward and came out strong in the first three months of the year amid industry challenges. We delivered resilient results as a result of our continuous efforts to provide the best-in-class products and services to our customers,' stated Allianz Life CEO Charles Ong.
CBS News
20-05-2025
- Business
- CBS News
How much will a $25,000 annuity pay monthly (and is it worth it)?
We may receive commissions from some links to products on this page. Promotions are subject to availability and retailer terms. Before you invest in a $25,000 annuity, make sure you know what your monthly payments would be. witthaya_prasongsin/Getty Images In today's volatile financial landscape, retirement planning has become even more challenging. Stock market volatility, inflation concerns and lingering economic uncertainty have left many Americans wondering if their retirement savings will truly last as long as they need it to. According to a recent study from Allianz Life, 64% of Americans say they fear running out of money before they die and 62% say they aren't saving as much for retirement as they'd like. Another 54% say inflation is contributing to their fear of running out of money during retirement. Those types of fears are helping to drive interest in guaranteed retirement income streams. And, as traditional pension plans continue to disappear from the private sector, soon-to-be retirees and those planning for retirement are increasingly responsible for creating their own retirement security. In turn, unique products like annuities, which are financial products that convert a lump sum of money into monthly payments, have emerged as a potential solution for those seeking predictable income during retirement. With interest rates remaining stabilized at higher levels, annuity payouts have also become more attractive. This has prompted many pre-retirees and retirees to consider allocating a portion of their portfolio to an annuity. But how much could you actually receive from a modest $25,000 annuity investment, and would it be worth it? That's what we'll examine here. Find out how to boost your retirement income with an annuity today. How much will a $25,000 annuity pay monthly? The monthly payout from a $25,000 annuity varies significantly based on several factors, with age and gender being among the most influential. For immediate annuities, though, which offer payments that start right away, annuity payment data shows that you can expect the following monthly payments from that type of investment: Men age 62: $104.74 per month $104.74 per month Women age 62: $92.72 per month $92.72 per month Men age 67: $125.95 per month $125.95 per month Women age 67: $110.75 per month $110.75 per month Men age 70: $142.58 per month $142.58 per month Women age 70: $125.26 per month $125.26 per month Men age 72: $155.39 per month $155.39 per month Women age 72: $136.55 per month $136.55 per month Men age 75: $180.58 per month $180.58 per month Women age 75: $157.58 per month The difference in payouts between men and women reflects life expectancy calculations. Since women typically live longer than men, their monthly payments are lower to account for the extended payment period. However, the type of annuity you choose can also dramatically impact these figures. Other common options include: Deferred annuities: These types of annuities delay payments until a future date, potentially increasing your monthly income. Fixed and variable annuities: Fixed annuities provide guaranteed payment amounts, while variable annuities tie payments to investment performance, introducing both upside potential and downside risk. The latter typically have higher fees but might offer inflation protection through growth. Indexed annuities: These types of annuities link returns to market indexes with caps on potential gains and floors protecting against losses. They typically pay less than fixed annuities initially but may provide some inflation protection. And, the additional factors and options that could impact the payouts on a $25,000 annuity include: Period certain guarantees: These guarantees ensure payments continue for a minimum period (e.g., 10 years) even if you die earlier, but reduce monthly payments. Joint and survivor benefits: These benefits continue payments to a spouse after your death, but can reduce initial monthly payments compared to single-life options. Cost-of-living adjustments (COLA): These adjustments increase payments annually to combat inflation but typically reduce the initial payments. Liquidity options: The annuity options that offer more liquidity allow access to your principal in emergencies but may reduce your monthly payments. Explore your top annuity options online now. Is a $25,000 annuity worth it? Monthly payments of between $100 to $180 per month don't necessarily sound like a windfall, and that's especially true when you consider that you're giving up access to that $25,000 in exchange. So, is buying a $25,000 annuity really worth it? The short answer is that it depends on your goals. If you're looking for a safe, supplemental income stream, a small annuity could play a helpful supporting role in your retirement plan. That $100 or $150 a month could help cover utility bills, prescriptions or groceries, and the income is guaranteed, no matter how long you live or how the markets perform. However, if flexibility or growth potential is more important to you, an annuity might not be the best use of a smaller sum like $25,000. Once the money is invested, it's no longer liquid. That means you generally can't access it for emergencies without facing penalties or fees, especially with immediate or deferred annuities. And if you're relatively young and still have time to invest, you might earn a better return by putting that money into a diversified investment portfolio instead. When you run the math, a $25,000 annuity often won't keep pace with inflation unless you add riders, either, further reducing the monthly benefit. So, for many retirees, a more substantial annuity investment would be needed to meaningfully impact their retirement security. However, a smaller $25,000 annuity might serve as one component of a diversified retirement income strategy, particularly for covering specific fixed expenses. The bottom line A $25,000 annuity won't transform your retirement, but it can offer a small, steady stream of income that adds a layer of security to your overall financial picture. In today's uncertain economy, that predictability can be valuable. But like any financial product, annuities aren't the right option for everyone. Whether a $25,000 annuity is worth it comes down to your unique needs, your tolerance for risk and how that income would fit into your broader retirement plan. So, before you invest, be sure to weigh the pros and cons, explore different types of annuities and make sure your money is working for you in the most effective way possible.
