Advantages of a Conventional Annuity

  • Guaranteed income for life
  • No investment risk
  • The choices are simple
  • Security
  • Option to guarantee capital via Pension Annuity Protection

Disadvantages of a Conventional Annuity

  • You must decide what income type you require at the outset
  • You must decide what additional benefits you are going to include at outset
  • You lose ownership of your funds
  • Loss of benefit and capital on death
  • No further benefit from investment growth
  • Annuity rates fluctuate therefore if you buy when the rate is low your income is fixed at this rate
  • Once income type is chosen this cannot be changed
Information is based on our current understanding of taxation legislation and regulations; these may change in the future.
The value of your investments and income from them may go down and you may not get back the original amount you invested.