Lincoln Financial Group is offering a retirement plan with a guaranteed income option for clients opting for a drawdown or annuity product.
Clients can choose between Lincoln’s i2Live accumulator, drawdown or annuity products under the new plan and can switch between the products at no extra charge.
The fund range includes 66 funds from firms including Artemis, Fidelity, Gartmore and Schroders.
The drawdown product is an unsecured pension plan providing flexible income up to age 72. Customers can then convert to the i2Live annuity.
The annuity offers income on death to dependants through joint life or through the dependant’s guarantee period option.
There is a 200 annual charge to cover the administration costs which increase by the rate of RPI plus 1 per cent a year. Investment fund charges vary depending on the funds selected. The annual guarantee charge is 0.95 per cent of the fund.
Charges equal to any commission agreed between the client and their adviser will be deducted from the fund.
Initial commission can be paid up to a maximum of 3 per cent of each payment, with trail commission up to a maximum of 1 per cent of the value of the fund each year.
Threesixty partner David Ingram says: “The fact that it takes a client from pension accrual to annuity by way of drawdown is very attractive.”