MGM Advantage has announced it is developing a new at-retirement product which it says will offer the supposed holy grail of an element of secure guaranteed income as well as facilitating full flexibilities promised by upcoming reforms.
Called the Retirement Account, MGM said the product is designed to give retirees access to their pension pots, a guaranteed income and growth potential. It said the product is designed to appeal to a broad range of customers with pension pots worth between £30,000 and £250,000.
However, despite teasing the adviser market with a vague overview of the new product and encouraging advisers the opportunity to ‘pre-register’ their interest, it was unable to answer any questions from FTAdviser on how the product might work.
A spokesman for the firm said simply that the product is still “in development” and that more details would follow ahead of launch in the early part of next year.
The product will be available exclusively through financial advisers. The firm said it is also building a range of tools and support for advisers and clients who are waiting for the new solutions that will be available from April.
Peter Carter, product and marketing director at MGM, commented that his team has spent the summer months asking advisers and customers what they want from the new retirement freedoms.
“Customers have told us they want a guaranteed income to pay the bills, want to retain access to their capital whenever they may need it, and want to grow the value of their investment over time.
“They also want any product to be flexible and adaptable to their changing needs during retirement, as well as be able to pass on funds to dependents. The Retirement Account will deliver these options in one product, in a cost effective way for clients and their advisers.”