At times of uncertainty, financial advisors typically go out of their way to help calm the nerves of their clients, but new survey findings show they're actually concerned about the effects of inflation and a recession on their clients’ financial well-being.

Ninety-two percent of advisors worry that rising inflation will cut retirees' spending power, while only 81% of Americans overall do, the Alliance for Lifetime Income and Cannex found in a survey of 2,025 Americans ages 45 to 75 and 514 financial professionals who conduct retirement planning for individual clients.

In addition, 87% of advisors — but only 68% of consumers — are concerned that current stock and bond market trends are cutting retirees’ potential retirement income, according to the survey.

Furthermore, 84% of advisors, but only 79% of consumers, worry about the recession driving the economy down and therefore harming retirement income, the survey found.

The Alliance for Lifetime Income — a nonprofit “educational organization based in Washington, D.C.” — believes advisors can close that gap by selling clients more annuities.

"Against the backdrop of record inflation, a bear market and global economic uncertainty, the misalignment in what financial professionals are relying on to create retirement income, and what clients are looking for, is a problem," the group's chief executive officer, Jean Statler, said in the announcement about the study.

"Ninety-two percent of financial professionals are worried about inflation reducing client spending power, and so it's good that many of them have changed their retirement planning approach this past year," she added. "But for those financial professionals who tell their clients to simply ride out the risks and are not considering protected income options like annuities, don't be surprised if you find them going elsewhere for advice."

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