What is longevity risk in retirement and how can you manage it?
What is longevity risk? And is your retirement portfolio built to handle it? Longevity risk is the possibility of living so long after retirement that you go through your savings too soon. A couple of generations ago, longevity risk wasn’t much of an issue for Canadian retirees. Back in 1970, Canadians had an average lifespan of around 72, so their retirement savings only had to last for around seven years, on average.