Fidelity Freedom Index Income Fund - Investor Class · NASDAQ:FIKFX
Fidelity Freedom Index Income Fund - Investor Class — Fidelity Investments — Investor Presentation (2018)
29 slides from Fidelity Freedom Index Income Fund - Investor Class's investor presentation, Aug 7, 2018
Slide 1: Saving for Retirement: Are you on track?
SAVING FOR RETIREMENT: Are you on track?
Slide 2: Your Host
YOUR HOST John Sweeney Executive Vice President, Retirement & Investing Strategies, Fidelity Investments 2 JOIN THE CONVERSATION: @SweeneyFidelity
Slide 3: Presenters
PRESENTERS Saving for Retirement LAUREN BROUHARD GLENN KASSES Senior Vice President, Director of Retirement Retirement Solutions Guidance Products Fidelity Investments Fidelity Investments 3 JOIN THE CONVERSATION: @Fidelity │ @SweeneyFidelity │ #SomedayEvent
Slide 4: Today we are going to: help you build your Someday plan
TODAY WE ARE GOING TO: Saving for Retirement De-mystify the question, “How much do I need to save for retirement?” Share simple strategies for your savings HELP YOU BUILD YOUR SOMEDAY PLAN 4
Slide 5: Planning for your "Someday"
PLANNING FOR YOUR “SOMEDAY” Saving for Retirement First, you need to visualize your someday. 5
Slide 6: Planning for your "Someday"
P L A N N I N G F O R Y O U R “ S O M E D AY ”
Slide 7: Planning for your "Someday"
P L A N N I N G F O R Y O U R “ S O M E D AY ” 9
Slide 8: How much will you need?
HOW MUCH WILL YOU NEED? Saving for Retirement To maintain your lifestyle in retirement, plan to generate at least 45% of your pre-retirement income. Your salary impacts how much income you will need to replace in retirement — and where it will come from. Preretirement Target income replacement rate
Slide 9: Poll Question #1
POLL QUESTION #1 Saving for Retirement How knowledgeable do you feel about how much you need to have saved for your retirement? A. Very knowledgeable B. Somewhat knowledgeable C. Not very knowledgeable D. Not at all knowledgeable 9
Slide 10: Your Response
YOUR RESPONSE Saving for Retirement How knowledgeable do you feel about how much you need to have saved for your retirement? 63.0% 19.4% 15.9% 1.8% Very Somewhat Not very Not at all knowledgeable knowledgeable knowledgeable knowledgeable 10
Slide 11: The three A's can help get you there
THE THREE A’S CAN HELP GET YOU THERE Saving for Retirement The three A’s of saving successfully for retirement AMOUNT ACCOUNT ASSET MIX HOW MUCH YOU WHERE YOU SAVE HOW YOU INVEST IS SAVE IS KEY MATTERS CRITICAL 11
Slide 12: How much do you need to save?
HOW MUCH DO YOU NEED TO SAVE? Saving for Retirement Start early. Save regularly. 15% Increase the amount saved as your income increases. Fidelity’s suggested total pretax savings goal of 15% of annual income is based on solving for the 45% income replacement target with the following assumptions – s
Slide 13: Savings Milestones
SAVINGS MILESTONES Saving for Retirement To be financially ready to retire by age 67, aim to have 10 times (10x) your final salary saved at retirement. Saving factors to help you on your journey to retirement Age 67 | Save 10x of your salary 60 | 8x 55 | 7x 50 | 6x 45 | 4x 40 | 3x 35 | 2x Age 30 | S
Slide 14: Summing it up
SUMMING IT UP Saving for Retirement 15 10 5 Save 15% of your Aim to save 10 times If you are not at income every your annual income to your 5-year year, over your maintain your lifestyle milestone, try to working life. by the time you hit the next one. reach age 67. This includes any employee and em
Slide 15: Where to save: Workplace Accounts
WHERE TO SAVE Saving for Retirement Workplace Accounts: The benefits of saving in your workplace plan Ease and Employer Tax Compounded convenience match advantages growth potential 15
Slide 16: Where to save: How your money can grow
WHERE TO SAVE Saving for Retirement Workplace Accounts: How your money can grow Potential account balance at age 65 if participant invested $125/month starting at various ages: $310,690 $147,008 $63,801 $21,502 $60,000 $45,000 $30,000 $15,000 Age 25 Age 35 Age 45 Age 55 Participant contribution Part
Slide 17: Where to save: A primer on IRAs
WHERE TO SAVE Saving for Retirement Personal Accounts: A primer on IRAs Accounts Eligibility Key Benefits Traditional IRA • Under age 70½ • Tax-deferred growth • Must have employment • Tax-deductible contributions - income limits compensation apply when a taxpayer or spouse is covered by a retiremen
Slide 18: Where to save: Benefits of Consolidation
WHERE TO SAVE Saving for Retirement Benefits of Consolidation Track and monitor Plan for all your Get potential with ease savings holistically savings Review and It is important to plan Consolidating manage all your for your savings accounts with one savings in one place together to create provider
Slide 19: Invest wisely
INVEST WISELY Saving for Retirement Pick a mix of investments that takes into account • Your financial situation • Your tolerance for volatility • When you will need the money you are investing Conservative Balanced Growth Aggressive Growth 5% 14% 10% 15% 30% 6% 35% 25% 40% 49% 25% 60% 50% 21% 15% U
Slide 20: Invest wisely: Choosing investments
INVEST WISELY Saving for Retirement Choosing Time Confidence investments or “Do it myself” “Do it with me” 20
Slide 21: Invest wisely: Do it myself / Do it with me
INVEST WISELY Saving for Retirement “Do it myself” “Do it with me” Access Fidelity’s research, • Managed account* resources, and tools to build • Target date fundsᶧ your own portfolio Monitor and adjust your investment strategy as you see fit *A managed account provides discretionary investment mana
Slide 22: Poll Question #2
POLL QUESTION #2 Saving for Retirement Do you have a financial retirement plan in place? A. Yes, we have a formal written plan B. Yes, we have a general retirement plan, but not in writing C. No, we don’t 22
Slide 23: Your Response
YOUR RESPONSE Saving for Retirement Do you have a financial retirement plan in place? 59.2% 20.8% 20.0% Yes, we have a formal Yes, we have a general No, we don't written plan retirement plan, but not in writing 23
Slide 24: New Planning & Guidance Center
NEW PLANNING & GUIDANCE CENTER This demonstration of the Planning & Guidance Center, including all screenshots and graphics, is presented for illustrative purposes only. Fidelity Investments reserves the right to eliminate or modify any aspect of the tool in its discretion. This information should n
Slide 25: Next Steps
NEXT STEPS Saving for Retirement • Start saving now. GET SERIOUS. • Assess your plan regularly to stay on track, and use easy rules of GET SMART. thumb like the Savings Factor. GET GOING. • Use the Planning & Guidance Center to develop your plan. 25
Slide 26: Questions and Answers
QUESTIONS AND ANSWERS 26 JOIN THE CONVERSATION: @Fidelity │ @SweeneyFidelity │ #SomedayEvent
Slide 27: Important Information
IMPORTANT INFORMATION Saving for Retirement Before investing, consider the funds' investment objectives, risks, charges, and expenses. Contact Fidelity for a prospectus or, if available, a summary prospectus containing this information. Read it carefully. Past performance is no guarantee of future r
Slide 28: Important Information
IMPORTANT INFORMATION Saving for Retirement Stocks are represented by the Standard & Poor’s 500 Index (S&P 500® Index). The S&P 500® Index is a market capitalization–weighted index of 500 common stocks chosen for market size, liquidity, and industry group representation to represent U.S. equity perf
Slide 29: Important Information: Appendix A
IMPORTANT INFORMATION Saving for Retirement Appendix A: Fidelity developed a series of income multiplier targets corresponding to different ages assuming a retirement age of 67, a 15% savings rate, a 1.5% constant real wage growth, and a planning age through 93 and an in income replacement target of