MGM Advantage Moneyfacts 5 Star Award

MGM Advantage first to be awarded five stars for retirement income product by MoneyFacts

- New flexible income annuity ticks all the boxes for Moneyfacts -

March 2010 MGM Advantage, the innovative retirement income specialist, is delighted to announce that its recently launched flexible income annuity product has been awarded five stars by Moneyfacts, the UK’s leading independent financial information provider. MGM Advantage is the first and only company to receive five stars for a retirement income product.

Moneyfacts awarded the full five stars on the basis of the product’s simplicity, low charges, investment choice and income flexibility. The product was commended for its mass market appeal with its low minimum investment annual management charges as well as being the first UK annuity to offer access to Vanguard funds.

Richard Eagling, Editor at Moneyfacts comments, “MGM Advantage has put in an Oscar winning performance with the launch of its flexible income annuity. This asset backed annuity should be a welcome addition to an adviser’s retirement portfolio. In terms of income flexibility and guarantees, this product really is the star turn and earns a maximum five out of five Moneyfacts stars.”

Chris Evans, chief executive of MGM Advantage comments, “We are absolutely thrilled that our newly launched flexible income annuity is the first retirement income product to be awarded the full five stars by Moneyfacts. Moneyfacts is widely regarded as one of the leading sources of independent financial information and to receive the top honours for our flexible income annuity is fantastic news.

“With £135 billion of pension funds maturing in the next five to ten years, there is a growing problem in the retirement income market as increasingly conventional annuities will no longer meet people’s retirement needs.

MGM Advantage’s flexible income annuity is an investment linked annuity offering a choice of starting income between 50% and 120% of that payable from a conventional annuity. Clients can choose an income level within maximum and minimum levels which is fixed for five years. A minimum guarantee is also available. The minimum investment is £10,000 and enhanced terms are available for clients with health impairments.”

Product Details – MGM Advantage Flexible Income Annuity

A lifetime annuity that offers a choice of starting income between 50% and 120% of the income that would be available from a conventional annuity
The flexibility to vary income at key stages of retirement to meet lifestyle needs
A choice of market leading actively managed funds from Jupiter, Newton, JP Morgan Asset Management, selected and monitored by Old Broad Street Research (OBSR)
A choice of passive funds using funds from Vanguard – MGM Advantage is the first provider in the UK to offer Vanguard funds within an annuity wrapper. A money market fund is also available from Insight Investment.
Enhanced terms for customers with a health impairment
Because we’re a mutual, membership of the Society and the potential for extra income from member bonuses, without the need to invest in a traditional with-profits fund
The usual mortality cross-subsidy benefits offered by annuities but not possible with income drawdown
Income fixed for five year periods so people can plan their finances more easily
Automatic five-year income reviews, but also the option for customers to make changes to income levels and investment choices at any time if required
A Minimum Income Guarantee from day one
The option to move to a fixed income basis or to another provider at any time
Death benefits and all the other features you’d expect from a conventional lifetime annuity.
The Flexible Income Annuity is sold through independent financial advisers

- Ends -
For further information:
Citigate Dewe Rogerson

Jo Skinner 020 7282 1092
Sophie Woodcock 020 7282 1072

About MGM Advantage
www.mgmadvantage.com

History: Based in Sussex, the life assurer opened its doors in 1852 as Marine and General Mutual Life Assurance Society, to fill the poorly-met insurance needs of seafarers and traders.

MGM Advantage is a new name in the UK retirement income market. Formerly known as MGM Assurance, the company rebranded as MGM Advantage, Designs for Retirement in June 2008 and repositioned the company as a retirement income specialist.

Its launch product – an Enhanced Annuity – is designed to provide additional income in retirement for people with any health conditions or a poor medical history and is distributed through independent financial advisers (IFAs) across the UK.

MGM Advantage is a mutual society owned by its members, and manages assets in excess of £1.4 billion. MGM Advantage’s commitment to customer satisfaction is backed up by an industry-leading customer charter, which promises high quality service and a £25 no-quibble payment to any customer who hasn’t received the level of service we have promised.
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MGM Advantage Designs for Retirement, MGM Advantage and the MGM Assurance logos are Trade Marks of Marine and General Mutual Life Assurance Society.