View more on these topics

MetLife third-way pledges cover capital and income

MetLife has launched its latest third-way personal pension with both income and capital guarantees.

The new retirement port-folio features unit-linked guarantees such as an optional capital guarantee for people saving for retirement, deferred income guarantee for clients looking to delay taking an income and an immediate income guarantee for clients wanting to get an income straight away.

All the guarantees offer 100 per cent performance lock-ins every three years. The product is open to clients aged 23 and over with charges for the guarantees starting at 0.5 per cent.

Minimum investment is £50,000, protected rights are accepted and the product allows regular and single contributions from employers and employees. It is also possible to convert into a Sipp later on and the portfolio is factory-gate-priced to allow customer-agreed remuneration.

MetLife Europe chief executive officer Ed Gardner says: “The risks from rising inflation, stockmarket volatility and the need to plan for potentially up to 30 years of retirement demonstrate the need for new solutions. We believe the new ret-irement portfolio delivers on all fronts and makes unit-lin-ked guarantees a major part of mainstream retirement planning.”

Hargreaves Lansdown head of pension research Tom McPhail says: “We still want to do some hitting it with a hammer to see whether the product stands up and whether it is something we would be happy to recommend to clients.

“But it does look more keenly priced than what it was offering before. The passive portfolios substantially reduce the cost to around 2.5 per cent per annum whereas previously it was up near 4 per cent. Other firms are now looking at passive management as a way of reducing costs so this now appears to be the way that the market is going.”


Grand theft auto

The private-sector final-salary schemes that have been so dominant in the workplace for nearly half a century will probably be almost gone by then.

Directors, limited liability partners and auto-enrolment

By Jim Grant, Senior Product Insight & Technical Support Analyst 6 April 2016 brought in changes to employer duties for directors and partners in limited liability partnerships. Here we explain exactly what’s changed. Before 6 April 2016… Directors of limited liability companies where there were no other directors or employees were exempt from the employer […]


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