2020 06 Gyrations Cover Capture

Retirement Portfolio Resilience Perspective

Primary Pillar: Retirement Portfolio Construction

Supporting Pillars: Risk Pricing Discipline • Sequencing Risk Awareness

This article examines how resilient portfolio construction can strengthen retirement portfolios through embedded downside protection, diversified return sources and disciplined risk management.

It explains why portfolio construction should anticipate a wide range of possible market outcomes rather than rely on favourable market conditions or accurate market prediction. Although the language reflects an earlier emphasis on highly defensive portfolio characteristics, the underlying philosophy establishes many of the enduring principles that would later evolve into the Retirement Portfolio Resilience Framework, helping investors remain financially and emotionally invested throughout their retirement journey, regardless of the path markets take.

This article forms part of a broader body of research, educational articles and practical insights organised through the Retirement Portfolio Resilience Framework.

This month

Why Gyrostat?                                                  p 2

Portfolio design – add to existing portfolios          p 3

        Diversified non correlated                

        Highly defensive reliable pay-offs

        ‘Hard’ protection not predicting

Outlook:                                                           p 8

        Income guidance upgraded

        Increasing international exposure

Macroeconomic                                                  p 9

Feature article “Retirees face financial ruin”          p11

What we are reading                                          p13

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