Discover Your Retirement Income Style
Take this mock RISA assessment to understand your preferences for retirement income. There are no right or wrong answers â just your unique style!
Your RISA Profile:
Your total score: points.
Explore All RISA Profiles
ð Total Return (21-24 pts)
You prefer income based on market growth and value flexibility to adapt to changes.
Strategies:
- Systematic withdrawals from a diversified portfolio.
- Flexible spending rules (e.g., "Guardrails" approach).
- Emphasis on maximizing long-term portfolio value.
Financial Products:
- Diversified mutual funds/ETFs (equities, bonds).
- Individual stocks and bonds.
- Low-cost brokerage accounts.
Sample Asset Allocation:
Higher allocation to equities (e.g., 60-80% equities, 20-40% fixed income), reflecting comfort with market volatility for growth potential.
ð Protected Income (6-10 pts)
You prioritize guaranteed income streams and prefer a committed, stable financial plan.
Strategies:
- Building a "floor" of guaranteed income to cover essential expenses.
- Using remaining assets for discretionary spending or growth.
- Focus on predictability and security.
Financial Products:
- Immediate or Deferred Income Annuities.
- Social Security benefits.
- Pensions.
- High-quality government bonds.
Sample Asset Allocation:
Significant portion of assets allocated to income-generating annuities or fixed-income products. Remaining portfolio can be more growth-oriented (e.g., 30-50% equities, 50-70% fixed income/annuities).
ðĄïļ Risk Wrap (16-20 pts)
You seek market growth but desire a structured plan with built-in protections against major downturns.
Strategies:
- Investing for growth while using strategies to mitigate downside risk.
- Implementing guardrails or systematic rebalancing.
- Focus on long-term growth with a safety net.
Financial Products:
- Diversified portfolios with tactical asset allocation.
- Variable annuities with guaranteed minimum withdrawal benefits (GMWBs).
- Structured products.
- Hedging strategies (e.g., put options, inverse ETFs - for advanced investors).
Sample Asset Allocation:
A balanced approach with a strong equity component, but with specific products or strategies to limit severe losses (e.g., 50-70% equities, 30-50% fixed income, potentially with a portion in GMWB annuities).
âģ Time Segmentation (11-15 pts)
You prefer a mix of guaranteed income for short-term needs and market-based growth for long-term goals, valuing flexibility.
Strategies:
- "Bucketing" strategy: allocating funds to different time horizons.
- Short-term bucket for immediate needs (safe assets).
- Long-term bucket for future needs (growth assets).
- Flexibility to adjust buckets based on market performance.
Financial Products:
- Cash, money market accounts, CDs (short-term bucket).
- Short-term bonds (intermediate bucket).
- Diversified equities and long-term bonds (long-term bucket).
Sample Asset Allocation:
Varies by bucket: near-term buckets are very conservative (e.g., 0-10% equities), while longer-term buckets are more aggressive (e.g., 70-90% equities). Overall, it's a blend of fixed income and growth assets.
Disclaimer:
This assessment is a mock RISA profile evaluation and should not be used as a real financial reference. It is designed for illustrative purposes only. For a comprehensive and personalized retirement income style assessment, please consider taking the full assessment on the official RISA website or consulting with a qualified financial advisor.