Longevity and long-term investing: why retirement planning matters now more than ever

In this article, we’ll explore:

- how increased longevity is reshaping financial strategies

- why long-term investment is key in a shifting demographic landscape

- the growing importance of complementary pension schemes for future security

A longer life calls for a new approach to financial planning

Across Europe, people are living longer and staying healthier well into old age. This changing reality poses important financial questions:

How can individuals sustain a potentially longer retirement? How can wealth be preserved across more decades? What steps are needed to maintain financial independence in the long run?

Longevity is more than just a demographic fact - it’s a powerful force that’s transforming how we think about savings, investments, and future protection.

Long-term investing: building value that lasts

Sound financial planning looks beyond short-term market movements. Over longer timeframes:

- market ups and downs tend to balance out

- the effects of economic cycles become more manageable

- compound returns start to make a real difference

Long-term investing allows individuals to take advantage of market growth while reducing the impact of short-term volatility. It’s especially relevant for those planning for retirement, offering a structured way to grow savings steadily over time.

Supplementary pensions: a strategy designed for the future

Supplementary pension schemes are playing an increasingly critical role in helping individuals build a sustainable retirement income - especially in a world where people are living longer. Why they matter in today’s world:

- Help bridge the gap created by longer life expectancy

- Allow capital to grow over time by leveraging long-term horizons

- Provide tax incentives that encourage participation

- Offer flexible options to tailor retirement income to individual goals

Longevity is shaping today’s financial conversation

The topic of longevity has become a priority for policymakers, financial institutions, and stakeholders alike - and for good reason. It directly influences personal wellbeing and the long-term sustainability of economic systems.

UniCredit, through events and discussions hosted at venues like Borsa Italiana, actively contributes to this dialogue, encouraging forward-looking conversations on how to prepare for a future where more people live longer, healthier lives.

Planning ahead: redefining what financial wellbeing means

Longevity changes the definition of the future - and it makes planning more important than ever. Combining the discipline of long-term investing with tools like complementary pensions can help build a more secure, flexible, and resilient financial path that supports individuals throughout their entire lives.