SA’s retirement shocker
Two reports on retirement trends suggest that few South Africans are going to be anywhere near as comfortable in retirement as they assume
It may lack the drama of climate change, but inadequate retirement saving is a potential global catastrophe. According to Neil Walton, head of investment solutions for global fund manager Schroders, the World Economic Forum expects the shortfall in savings from just the world’s eight largest markets to grow from $70-trillion in 2015 to $400-trillion by 2050.
Though a similar quantification of the pension gap is not available for SA, 10X’s "Retirement Reality Report 2019" — drawing on the Brand Atlas survey of more than 15.1-million economically active South Africans — sounds a similar concern. It found 67% of respondents had no retirement plan in place, or their plan was "a bit vague".