View more on these topics

GE Life phases in drawdown

GE Life has added a phased drawdown plan to its range of pension products.

The plan is designed for people who need income but not a lump sum and who want to defer annuity purchase. GE Life thinks it will have particular appeal to people who are making the transition from part-time employment to full-time retirement. It will also be of use to people who want superior death benefits compared with annuities and who are concerned with inheritance tax planning.

The plan enables income, which is provided through a combination of tax-free cash an drawdown payments, to be taken whenever it is needed and there are four investment options. The GE Life unit-linked investment option provides access to 41 funds managed by GE Life and external fund managers.

The discretionary pension portfolio option provides tailored portfolios through links with Cazenove, Morgan Stanley Quilter, Rathbones and Tilney. It is available to people with pension pots of at least £200,000. However, a minimum of £3,000 must be invested in GE Life&#39s unit-linked funds.

The simplified Sipp option provides access to a range of collective investments including GE Life&#39s unit-linked fund range. Its minimum investment is £100,000, but investors would need to place at least £100,000 in GE Life&#39s unit-linked funds. Finally, the Sipp option offers the widest choice of Inland Revenue permitted investments but at least £20,000 must go into GE Life&#39s unit-linked funds.

This product brings similar features to Scottish Equitable&#39s flexible pension plan to the income drawdown market. This is useful as income can be targeted to meet the individual&#39s needs while the rest of the pension pot remains invested in an appropriate arrangement. However, there is too much going on within a single product and it may be difficult for IFAs to explain to clients how it works.



After four years or so of stalemate, the FSA&#39s examination review is starting to get somewhere. One of the issues which concerned the LIA very much was the need to ensure that the proposed new exams enable individuals to have a professional qualification which is portable between one firm and another. A further concern was […]

The yield shield

In the UK there is a general tendency to knock anything that is good, be it in sport, popular music, fashion or business. This rule has also applied to the buy-to-let sector. This market has grown at a great rate of knots over the last few years but it is constantly knocked. We are always […]

UK leads Europe for fee-based financial advisers

The UK has the highest proportion of fee-based advisers in Europe, according to Eur-ope-wide IFA lobby group the Convention of Independent Financial Advisers. Cifa told a PIMS conference that 7 per cent of advisers in the UK are fee-based compared with 2-5 per cent in France, Benelux and Germany. IFAs say these figures are ironic, […]

Axa says single-tie firms will not die out

Single-tie operations will not die out with the onset of depolarisation, according to Axa Life head of distribution (building societies) Steve Jenkins. Jenkins predicts that open architecture products will evolve, providing an element of choice to consumers but through the economies of a tied wrapper so the tied sector will not be as vulnerable as […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm