Fixed Term Income Plan

About Bob

Bob is nearly 65 and is planning to retire soon. His pension fund, after tax-free cash, is £300,000.

What are Bob’s objectives?

Bob is happy to invest £200,000 of his fund in drawdown to provide flexible income and the potential for growth. He doesn’t want a guaranteed annuity at this stage as his circumstances may change. Bob’s key priority with the remaining £100,000 is to guarantee a lump sum.

What does Bob get?

Bob’s adviser recommends investing the remaining £100,000 in a Fixed term Income Plan for 20 years. He doesn’t receive an income from this plan and is guaranteed that the value will be £172,696 in 20 years’ time. At the end of the term, he’ll be able to reassess his options once again.

Tax-free cash and the benefit of guaranteed growth

What are the risks?

We cannot predict how much income your Guaranteed Maturity value will provide at the end of the term.