Annuities as an alternative to shaky markets? Be wary

New York

CHECKED your retirement savings plan lately? January's global stockmarket plunge is one of those moments that stoke fear among baby boomers that they might run out of money before they run out of years.

The fear is understandable: Older Americans are living longer. A man who reached his 65th birthday in 2015 has an average remaining life expectancy of 18.6 years, according to James Poterba, an economist at the Massachusetts Institute of Technology (MIT). A typical 65-year-old male also has a 20 per cent chance of living an additional 25 years or more. For women in the same age group, average remaining life expectancy is 20.3 years; one in five will live to age 93.