Description: This project has four phases. Phase 1 develops the framework for using a portfolio approach to developing retirement income strategies, and establishes a baseline for comparing to future phases. Phases 2, 3 and 4 analyze more complex retirement income solutions than Phase 1, to determine if the additional complexity improves projected outcomes and can be justified by the potential to deliver more favorable results. Interim reports have been prepared for each phase and can be found on the SCL and SOA websites. This report integrates the findings and conclusions from the Interim Reports, to help plan sponsors and their advisors consider the various goals, RIGs, and retirement income solutions that were analyzed in all four phases. This report references the analyses from the interim reports, but does not replicate all of these analyses. The Interim Reports provide many more details on our analyses for all four phases and should be used in conjunction with this report.

Description: The project goals are: • Illustrate an analytical framework using stochastic forecasts and efficient frontiers for hypothetical retirees, for determining retirement income generators (RIGs) that could be offered in a DC retirement plan. • Determine the RIGS or combination of RIGs that could be considered optimal according to specified criteria. • Encourage plan participants, plan sponsors, and advisors to adopt a portfolio approach to developing retirement income strategies.

Description: Retirees and their advisors should construct diversified portfolios of retirement income, allocating among various retirement income classes that include Social Security, annuities, and systematic withdrawals from invested assets. This essay discusses the pros and cons of various retirement income generators and the issues with constructing retirement income portfolios.

Description: Three papers use sophisticated actuarial methods to develop a straightforward retirement income strategy that can be implemented in virtually any IRA or 401(k).

Description: The project goals are: • Illustrate an analytical framework using stochastic forecasts and efficient frontiers for hypothetical retirees, for determining retirement income generators (RIGs) that could be offered in a DC retirement plan. • Determine the RIGS or combination of RIGs that could be considered optimal according to specified criteria. • Encourage plan participants, plan sponsors, and advisors to adopt a portfolio approach to developing retirement income strategies.

Description: This article advocates that DC plan sponsors implement programs of retirement income in their plans, and that actuaries are ideally qualified to help plan sponsors with that task. A program of retirement income offers a menu of choices to convert savings to income, along with appropriate communications to help retiring employees make informed choices.

Description: This essay advocates that the transition from DB to DC plans won't be complete until plan sponsors offer programs of retirement income in their DC plans. The essay discusses the relevant actuarial and behavioral issues.

Description: This presentation discusses the ways actuaries have dealt with regulations under Internal Revenue Code 401a4 which prescribes tests that are required to be completed by qualified retirement plans to ensure that plan benefits/contributions do not discriminate in favor of officers, shareholders, or highly compensated employees. From Record of Society of Actuaries Vol. 17, No. 3.