Managing market uncertainty. Brenda has delayed her retirement so she can build up her super and plan for the future she wants. Brenda Assets Two adult children not living at home Age: Required retirement income: $44,000 p.a. Income: $ Employed 100,000 Super: House: $500,000 $1.2 million mortgage-free Three grandchildren Retirement Risks Market Uncertainty Timing the Market Poor market performance during the global financial crisis severely reduced Brenda’s super balance. Brenda has delayed her retirement to build up her balance. Brenda could react to future market downturns by changing her long-term strategy, locking in losses and missing out on growth opportunities, making it hard to meet her retirement goals. Retirement Goals Retire at 65 Downsize family home Overseas holiday every two years Leave an inheritance for children Reaching their goals and reducing retirement risks To achieve her goals and manage her risk, Brenda’s adviser suggested the following strategies: Review investments Consider the best investment mix to deliver returns and whether if it is more tax-effective to downsize her home and invest in super. Top up super Continue to salary sacrifice a minimum of $5,000 per year at least to top up her super until she is ready to retire. Consider transition to retirement strategies Look at transition to retirement strategy, where Brenda would increase her salary sacrifice contributions into super and withdraw an income from the pension balance to make up for the reduced pay. Protect your super Consider investment protection to protect her capital for a 10-year term. This way market falls won’t impact her and she won’t lose the opportunity to benefit from growth. Find out how MLC can help This communication has been prepared by MLC Limited ABN 90 000 000 402 (AFSL number 230694), registered office 105-153 Miller Street, North Sydney NSW 2060. This advice may not be suitable to you because it contains general advice that has not been tailored to your personal circumstances. Please seek personal financial advice prior to acting on this information. MLC companies are subsidiaries of National Australia Bank Limited ABN 12 004 044 937. An investment with MLC is not a deposit or liability of, and is not guaranteed by, National Australia Bank Limited. MLC is not a registered tax agent. If you wish to rely on the general tax information contained in this document to determine your personal tax obligations, we recommend that you seek professional advice from a registered tax agent.