Longer Lives Are Forcing a Rethink on Risk, Saving and Retirement
At Calcalist and Migdal’s Financial Future conference, panelists debated how rising life expectancy is changing the way Israelis should think about investing, pensions and retirement. Dr. Ira Sober, founder of Longevity Academy and a longevity economics expert, said that as people live longer, “we need to rethink the concepts of risk and conservatism,” adding that “sometimes if you are young and conservative, that can be a bigger risk.” The panel was moderated by Almog Azar and also included Yaron Shamai of Migdal, Guy Mani of Meitav Gemel and Pension, and financial content creator Hן Gal, founder of Investa.
The discussion focused heavily on index investing, especially funds tracking the S&P 500. Shamai said the index is suitable for people saving for the long term, but warned that investors often do not fully understand the dollar exposure, which can either boost or erode returns. He stressed that no one should put their entire pension into one track and that diversification is the better approach. Mani argued that young savers should generally hold more equities, saying long-term retirement savings and provident funds tend to achieve the highest returns in stock-heavy portfolios, while urging investors not to panic during downturns or chase gains out of fear of missing out.
On retirement, Mani said people nearing retirement should usually reduce risk gradually, though some pensioners may keep stock exposure if they do not need the money immediately. Sober argued that the Chilean model underlying Israel’s investment tracks was suitable when adopted, but demographics have changed and products need to evolve for a world where people work, study and switch careers in different patterns. She said most people will probably keep working in some form longer than before, because there is not enough time to accumulate enough capital for very early full retirement.
Gal said her generation wants to retire early not to do nothing, but to live differently, raise children, travel and have a more balanced life. She noted that young investors have grown up amid crises, but also face high living costs, difficulty buying homes and uncertainty. The panel also touched on financial influencers, with Gal saying she has no issue with them earning money if they are honest, transparent and do not push dangerous advice. Mani said Meitav’s size does not matter to it, and that the company is focused on returns, service and professionalism, backed by research and AI tools.
