How CEOs Can Fix the Gaps in Retirement Risk Management

As CEOs, they are accustomed to making critical decisions that shape the future of their companies.

- Wouter Fourie

Yet, when it comes to their own retirement planning, many executives find themselves overwhelmed by complexity, fragmented assets, and a lack of clear oversight.

With many irons in the fire, it is easy to lose sight of their financial future, leaving them vulnerable to risks that could jeopardize their retirement lifestyle.

Many executives delegate financial management, but find that this fragmented approach creates blind spots, exposing them to risks they may not even be aware of.

Gaps in risk management

1. Overconcentration in company stock

It is common for CEOs to have a large portion of their wealth tied up in their company's shares or stock options.

While this can be lucrative, it also creates concentration risk—their retirement security becomes heavily dependent on the company's performance.

Why this is risky: A downturn in the company's fortunes or a market correction can significantly erode their net worth just when they need it most.