Toronto-based Sentry Investments Inc. announced on Monday that individuals who hold investments in the firm’s “real income” lineup would see increases to that income.
The lineup, which includes Sentry Real Income Managed Portfolios and Sentry Real Income Custom Solution, is meant to deliver stable, inflation-adjusted retirement income.
The income automatically adjusts each year on Jan. 1 and is based on the Bank of Canada’s reported 12-month change in the seasonally adjusted Canadian consumer price index (CPI) as of Nov. 30 of the previous year. Based on the CPI of Nov. 30, 2016, the real income withdrawal for 2017 will be adjusted by 1.2%.
“We’re pleased to offer our advisor partners a solution that provides investors with stable income in retirement while addressing the impact of inflation head on,” says Phil Yuzpe, president and CEO of Sentry Investments, in a statement. “Even a low level of inflation can have an erosive effect on a retired person’s purchasing power over the long term.”
Photo copyright: nonwarit/123RF