Changing Demographics

What's the evidence that demographic change is happening?
Today, the average life span is double what it was 200 years ago. The United Nations estimates that by 2050 the number of people over 60 years of age will increase from one in ten currently to one in five. (World Population Ageing 1950-2050, United Nations Population Division.)

Gender is part of the picture too, with women significantly outliving men. In the US, some 50 per cent of married women aged over 65 will outlive their husbands by at least 15 years.

Ageing populations raise serious issues of how to fund the growing number of 60-pluses through retirement and advanced age. Governments are finding that they cannot afford to fully fund pensions costs, healthcare, long-term care and other welfare provision.

The challenge in a nutshell?
As governments and individuals seek to address the combined challenge of rising life expectancy and inadequate retirement funding, we believe they will look increasingly to the private sector to fulfil their needs. We can play a key role in developing solutions, including providing education to individuals on financial services.