Retirement Options

The 'third way'

Before 'A-Day' - 6 April 2006, when pension rules went through a major revision - there were two main ways of securing an income in retirement : an annuity or an income drawdown plan. The first provides strong protection and security, but with little opportunity for flexibility and growth; the second offers growth, but at greater risk if there is a market turndown.

Now a 'third way' is being launched by a number of insurance companies, headed by Hartford Life Limited, in an attempt to offer a product which combines the best of both previous options, with none of their disadvantages. Hartford Platinum provides an ideal combination - the security of the annuity and the flexibility and growth of income drawdown. It includes an optional feature 'guaranteed retirement income plan' (GRIP) which provides a minimum guaranteed income for life, and offers the potential to grow your pension income by investing assets in a range of investment funds.

With this offer of security through an income for life combined with the potential for growth, Hartford Platinum is a radical new response to consumer demand for some form of 'third way' option. Hartford Life, a subsidiary of The Hartford Financial Services Group - one of the USA's largest financial services and insurance companies - offer years of global experience and expertise with the launch of their ground-breaking Hartford Platinum. The guarantees that come with Hartford's GRIP - often known as 'living benefit' - will tackle the problems associated with the traditional route to investing, in unit-linked funds to buy an annuity.

Nowadays, your investment needs to grow. According to the government's actuary department, someone who is 50 years old today can expect to live to 85. During those thirty years, everyday costs are going to rise, and your investments must rise with them to ensure a prosperous retirement. If you feel you may want to take the 'third way', contact us for full details on products like Hartford Platinum, to explore how appropriate it is to your circumstances.