Advisers warned they risk failing retirees with overreliance on averages

Instead, IFAs need to use outcomes-based analysis as a standard part of their retirement income planning process instead of relying on averages, the discretionary fund manager said. Without this approach, HRIS warned that they could struggle to meet new requirements in the Financial Conduct Authority's (FCA) thematic review of retirement income advice. The firm also noted that a reliance on averages when making assumptions could lead to an incorrect prioritisation of certain information. This could result in clients facing significant shortfalls in retirement. The FCA's review will...