by
Regional Chief Investment Officer
by
National Director, Life Management Services

Regional Chief Investment Officer Marc Doss and National Director of Life Management Services Anne Tinyo discuss the importance of holistic planning strategies and investing wisely in order to meet long-term financial goals.

Audio: Longevity Investing—Beyond Investment Management

Transcript: Longevity Investing—Beyond Investment Management

Speakers:

Marc Doss, Regional Chief Investment Officer, California and Nevada, Wells Fargo Private Bank
Anne Tinyo, National Director, Life Management Services, Wells Fargo Private Bank

Anne: Hello, my name is Anne Tinyo, the National Director of Life Management Services for Wells Fargo Private Bank. Today, the average life expectancy in the U.S. is 84.3 years for a man and 86.6 years for a woman, according to the Social Security Administration. A 100-year lifespan is becoming more common, and our society must adjust to these shifts. However, living longer often requires not just investing wisely but also utilizing more holistic services essential to daily living. Joining me to discuss aging and its impact on your holistic planning is Marc Doss. Marc is the Wells Fargo Private Bank Regional Chief Investment Officer for California and Nevada. Welcome to you, Marc.

Marc: Thanks, Anne, glad to be here. You bring up a great point about investing wisely. One major challenge of longevity is the possibility of outliving your assets. And as a result, we highly recommend meeting with your investment professional to go through a detailed wealth process. This is the first step to your understanding what you need to save and invest to help you achieve your unique financial goals.

Anne: While everyone's financial situation is unique, are there any common strategies that can be gleaned to help investors meet those goals?

Marc: Absolutely, Anne. One key strategy that we would advocate is to shift from a purely income-generating strategy to a total-return strategy, which includes the potential for income plus capital appreciation. We believe this approach allows for greater flexibility and better suits a longer investing time horizon. A total-return strategy allows for return streams that include not just interest on bonds, but also dividends from stocks, income from real estate, and other alternative sources of income.

Anne: Well, that makes a lot of sense, Marc. In our view, there's no question that financial and asset management will be critical in this world of longevity. But let's talk about other aspects of living longer. A lot of us, I'm sure, have aging parents, and it can be challenging to help them meet their needs, especially if they are unable to care for themselves. Or there's also families out there who have children with special needs. How does a longer lifespan impact these individuals?

Marc: Yeah, Anne, for these individuals, a longer lifespan often equates to additional complexity, and this added complexity could potentially drain the energy and resources needed to generate earnings and savings. And we believe that investors who leverage relationships and additional resources are more likely to be successful and enjoy the time that comes with longevity.

And as we talked about the importance of planning earlier, reviewing and preparing for these scenarios will be paramount for those who need additional support. Depending on your and your family's unique circumstances, it may make sense to consider life management services, like healthcare planning, medical claims processing, asset and liability management, and stage-of-life planning.

Anne: So if I can sum up some of the points you've mentioned about preparing for longevity, it's crucial to create a wealth plan because it's from this plan that investors can develop a detailed investment program. Then, investors should consider implementing a diversified income portfolio, which balances both income needs with capital appreciation. And those investors who have aging parents or other family members who need assistance should think about utilizing other professionals and advisors who may be able to help them with specific resources.

Marc: Yeah, that's exactly right, Anne. The ultimate gift of a longer life is the gift of productive time, and this longer life likely requires greater financial resources and flexibility. With strong partnerships in place, you'll have a greater chance of achieving a productive and fulfilled life.

Anne: Well put, Marc; thanks for sharing your insights with us. And for our listeners, we recommend meeting with your advisor to discuss your financial plan. And if you don't have one, we can help you get started. Thanks so much for listening.