Fidelity Freedom Index Income Fund - Investor Class · NASDAQ:FIKFX
Fidelity Freedom Index Income Fund - Investor Class — Fidelity Investments — Investor Presentation (2025)
24 slides from Fidelity Freedom Index Income Fund - Investor Class's investor presentation, Nov 20, 2025
Slide 1: Retirement income planning
Retirement income planning Planning for income to last your lifetime Not FDIC Insured May Lose Value No Bank Guarantee For investors. l © 2025 FMR LLC. All rights reserved. 435747.35.0
Slide 2: You may be retired for longer than you think
You may be retired for longer than you think Questions to consider Will I be able to Can I retire now, meet all my expenses? or should I wait? Will I be able to How should my Will my maintain my lifestyle? assets be allocated? money last? For investors. 2 435747.35.0
Slide 3: Where will retirement income come from?
Where will retirement income come from? SHARE OF INDIVIDUALS AGED 65 AND OLDER THAT RECEIVED HOUSEHOLD INCOME FROM SELECTED SOURCE (TOP INCOME QUINTILE) 84% 86% 69% 69% 27% Social Security Pensions and Retirement Asset Income Earnings Other Income Savings Source: Income for the Population Aged 65 an
Slide 4: Agenda
Agenda Learn the financial risks of retirement Understand the benefits of creating a retirement income plan Use available planning resources Take the next step! For investors. 4 435747.35.0
Slide 5: Five key risks of retirement
Five key risks of retirement RISK 1 RISK 2 RISK 3 RISK 4 RISK 5 Longevity Medical Inflation Allocation Withdrawals For investors. 5 435747.35.0
Slide 6: Longevity
Longevity Plan for living longer than you think 50% Chance of reaching age 86 Male Age 65 25% Chance of reaching age 91 50% Chance of reaching age 88 Female Age 65 25% Chance of reaching age 94 Couple 50% Chance of one spouse surviving 92 Both Age 65 25% Chance of one spouse surviving 96 65 70 75 80
Slide 7: Health care expenses
Health care expenses Saving for rising costs 47% Other medical expenses 44% Medicare Part B and Including co-payments, $345,000 Part D premiums coinsurance, and Out-of-pocket health Doctor appointments and care expense estimate deductibles for doctor hospital visits for a 65-year-old and hospital vi
Slide 8: Inflation
Inflation Even low inflation could damage purchasing power $60,000 $50,000 $50,000 $40,000 Dollars $30,000 $30,477 | 2% Inflation $23,880 | 3% Inflation $20,000 $18,756 | 4% Inflation $10,000 $0 Today 5 Years 10 Years 15 Years 20 Years 25 Years Years From Retirement Start Date All numbers were calcu
Slide 9: Asset allocation
Asset allocation Retirees need stocks for the long haul COMPARISON OF AVERAGE ANNUAL RISING COSTS VS. AVERAGE ANNUAL INVESTMENT RETURNS, 1926–2024 Examples of target asset mixes designed to meet various goals3 Rising Annual average portfolio returns costs (1926–2024) Conservative 14% Stocks, 6% Fore
Slide 10: Sustainable withdrawal rates can extend the life of a portfolio
Excess withdrawal Sustainable withdrawal rates can extend the life of a portfolio How a couple retiring in 1972 with $500,000 is affected. $2,000,000 50% STOCK, 40% BONDS, 10% SHORT-TERM INVESTMENTS 1972–2012 Withdrawals are inflation adjusted* Dollars Remaining $1,000,000 4% A couple, both age 65,
Slide 11: Let’s work together to create a plan
Let’s work together to create a plan What is a retirement income plan? A detailed plan that you and your financial representative create to determine how to use your assets to generate income that may last for the rest of your life. A retirement income plan can help you: Minimize the Identify source
Slide 12: Retirement income planning process
Retirement income planning process 1 2 3 4 Inventory expenses Cover essential Fund discretionary Review plan vs. income expenses expenses regularly For investors. 12 435747.35.0
Slide 13: Inventory expenses vs. income
1 Inventory expenses vs. income • Distinguish between your essential and discretionary expenses • Consider which expenses may increase and which may decrease in retirement • Consider long-term care coverage For investors. 13 435747.35.0
Slide 14: Estimate income sources
1 Estimate income sources Inventory your assets and how they are invested Identify lifetime income sources • Social Security • Pensions • Annuities Identify other income sources • Part-time employment • Rental income • Real estate For investors. 14 435747.35.0
Slide 15: Cover essential expenses
2 Cover essential expenses Earmark lifetime income sources ... Identify lifetime income sources • Social Security • Pensions • Annuities or • Regular withdrawals from reliable asset sources ... to pay for essential expenses. For investors. 15 435747.35.0
Slide 16: Fill any essential expense gap
2 Fill any essential expense gap Consider using a portion of your assets to ... Purchase an income annuity to Set up a systematic withdrawal or guarantee lifetime income* plan to generate income ... and consider long-term care and life insurance to cover potential health cost needs * Guarantees are
Slide 17: Social Security considerations
2 Social Security considerations When to start Full Retirement Age Start collecting Social Security at this age: 62 67 70 Receive this much initially per year $19,560 $29,424 $37,212 Live to age 70, and receive a total of $156,480 $88,272 $0 Live to age 80, and receive a total of $352,080 $382,512 $
Slide 18: Fund discretionary expenses
3 Fund discretionary expenses Use income from remaining assets ... • Mutual funds • Brokerage accounts • IRAs, 401(k)s • Savings accounts ... to pay for your discretionary expenses. For investors. 18 435747.35.0
Slide 19: Consider income strategies
3 Consider income strategies Possible income strategies to explore: Interest Systematic Bridge only withdrawals Live off the interest from your Segregate some assets for Set up pro rata withdrawals fixed income investments immediate income and invest across a well-balanced the balance to potentially
Slide 20: Determine your target asset mix
3 Determine your target asset mix Key factors to consider with your financial representative Bonds Short- • Time horizon term Target • Risk tolerance Asset • Investment experience Mix • Financial situation Equities For investors. 20 435747.35.0
Slide 21: Monitor your plan each year
4 Monitor your plan each year Meet with your financial representative at least once a year to: Review Reassess Rebalance Update retirement income expenses portfolio your beneficiary goals designations For investors. 21 435747.35.0
Slide 22: Let’s get started
4 Let’s get started Complete your Shareholder Worksheet. Schedule your one-on-one consultation: [Rep Name] [Title] [Phone #] [Website Address] [eMail Address] For investors. 22 435747.35.0
Slide 23: Important information
Important information IMPORTANT: The projections regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results, and are not guarantees of future results. Results may vary with each use and over time. Although past performance does not gu
Slide 24: For investor use
For investor use. Unless otherwise expressly disclosed to you in writing, the information provided in this material is for educational purposes only. Any viewpoints expressed by Fidelity are not intended to be used as a primary basis for your investment decisions and are based on facts and circumsta