Our daily roundup of retirement news your clients may be thinking about.

Larry Fink: Retirement savers should assume returns of as little as 4% over time
Clients who are currently investing for retirement should anticipate a paltry long-term return of 4% given today's market conditions, says BlackRock Chairman and CEO Larry Fink. "It would be wrong to expect anything more than 4 percent or 5 percent at this time, if you're putting money to work today for long term," says Fink, adding that, "if you go into that without that assumption, you'd be wrong." Fink predicts that investors in the U.S. stock market might witness "the beginning of another leg of a rally," if Great Britain decides not to leave the European Union trading block. –CNBC

Image: Bloomberg
Image: Bloomberg

Do IRA distributions affect Social Security?
A client's Social Security retirement benefits will not be reduced if he opts to withdraw from his IRA funds, according to this article on MarketWatch. That's because IRA distributions are not counted toward the earned income limitation, which includes only wage income and self-employment earnings. –MarketWatch

Pension holders need a new retirement plan, not stock tips
Although the shift from pension or defined-benefit plans to defined-contribution plans has resulted in many problems and has left many people unprepared for retirement, clients can still take small steps to help secure their golden years, according to this article on The New York Times. Retirement savers are advised to save 10% to 15% of their salary and invest only in low-cost index funds instead of a stock or an actively managed mutual fund. Young investors may start with equities and gradually move to fixed income as they age, while those who change jobs may want to leave their old 401(k) assets with their former employer or move the funds to their new plan. Cashing out their 401(k) plans should not be an option. –The New York Times

What should I do with my pension after I retire?
Clients need to determine how their pension funds can be incorporated into their overall financial plan before they making any move, according to this article on CBS Moneywatch. They may consider using their pension money for their cash flow needs or leave the funds to their heirs when they die. Consulting a financial adviser is advisable to understand their other sources of retirement income including the investment risk they could take with the funds. –CBS Moneywatch

Why women are excellent investors
Although women face different challenges compared with men when it comes to retirement, women have the attributes that make them excellent investors, which can help them secure their golden years, according to this article on Huffington Post. Women are committed and eager to save more money. They also are open to seeking professional guidance to make important investing decisions. –Huffington Post

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