Growth of the pension market
“The pension market offers attractive growth potential. People start to realise that they have to take the initiative in order to secure their standard of living once they retire. They look for holistic advice of an experienced pension specialist.”
Nils Frowein, Deputy Chairman of the Board of Management and CFO of AWD Holding AG
Increasing pension gap
The average age of people in AWD Group’s regions, Germany, Austria & CEE, Switzerland and the United Kingdom continues to increase. Across Europe, the ratio between pension recipients and pension contributors will rise drastically in the coming years.
As the demographic change places an unsustainable financial pressure on the state, the level of pension provided by the public social systems is continuously reduced. This implies that in the future, the state pension will only provide a basic income – the pension gap for people of pensionable age is set to grow.
As the demographic change places an unsustainable financial pressure on the state, the level of pension provided by the public social systems is continuously reduced. This implies that in the future, the state pension will only provide a basic income – the pension gap for people of pensionable age is set to grow.
Private pension provision unavoidable
Efficient private and corporate pension planning is becoming essential and saving schemes with strong returns are becoming a necessity. Private customers need to close their pension gaps individually to guarantee an appropriate standard of living once they retire.
Increased demand for advice
The problem becomes even more pressing. People in Europe have started to understand the problem of an insufficient pension income once they retire. People’s awareness on this topic has been additionally strengthened due to a strong media presence. However long-term pension planning is a very complex issue. Therefore the need for advice and support is enormous.
Already at an early stage, the AWD Group has focused its advice on pension products. As a result it is favourably positioned to benefit strongly from the long-term market potential.