We use cookies to improve site performance and enhance your user experience. If you'd like to disable cookies on this device, please see our cookie management page.
If you close this message or continue to use this site, you consent to our use of cookies on this devise in accordance with our cookie policy, unless you disable them.

Close
In association with

Home > Training > Adviser Guides

From Adviser Guide:

Q: What is an annuity?

An annuity is basically an insurance contract.

By Emma Ann Hughes | Published Feb 01, 2012 | comments

This insurance contract guarantees to pay an income for life, in exchange for a lump sum purchase price (usually a pension fund).

Mike Morrison, head of pensions development at Axa Wealth, said there are also fixed-term annuities available which, as the name suggests, are payable for a fixed-term, for example 10 years, with the ability to then choose another retirement option, such as another annuity or taking drawdown, at the end of the term.

Finished reading all the other articles in this Guide?Bank 50min of Structured CPD

COMMENT AND REACTION
Most Popular
More on FTAdviser
FTA jobs