By Press Room
MGM Advantage, the retirement income specialist, has announced sales of their Flexible Income Annuity are up 58% year-to-date1 compared to the same period last year. The retirement income provider said the growth has been driven by advisers looking for a viable exit strategy for income drawdown customers as well as historic low annuity rates.
Recent research by the provider showed 61%2 of advisers were recommending investment-linked annuities as a strategy to manage the income falls of clients in income drawdown. The Flexible Income Annuity allows clients to a maximum income level of 120% of GAD vs the income drawdown level of 100%.
Aston Goodey, Distribution and Marketing Director, MGM Advantage said: “There is considerable interest in looking at ways to maximise retirement income in a climate of tumbling annuity rates and drawdown incomes falling by as much as 55%3. Investment-linked annuities have the benefit of minimum income guarantees as well as potential for investment growth. That appeals to people whose retirement time horizon could be as long as thirty years or more.
“Our Flexible Income Annuity offers real choice in the market for a diverse range of client needs, whether that is maximising income, or addressing concerns over annuity rates or inflation. The factors driving demand show no signs of abating and we are confident our solution will remain at the centre of options available to customers.”
For further information
Paul Keeble 07833 085387 email@example.com
Notes to editors
- Source: MGM Advantage sales January – May 2012 comapred to the same period in 2011.
- Source: MGM Advantage research among financial advisers using SurveyMonkey. Fieldwork May and June 2012.
- Source: MGM Advantage calculations May 2012.
- The MGM Advantage Flexible Income Annuity was launched in February 2009 and was the first retirement income product to be rated five stars by Moneyfacts. The product gives customers the flexibility to change income levels at different stages of retirement and the potential for growth and therefore, the potential to negate the impact of inflation. It also provides a minimum income guarantee and death benefits. Enhanced rates are also available for the Flexible Income Annuity. For more information please go to: http://www.mgmadvantage.co.uk/annuities/flexible-income-annuity/