Drawdown surges as small pot solution

Carmen Reichman
clock

Income drawdown has become an increasingly popular option among advisers for clients with smaller retirement pots, as demand for the product surged overall post pension freedoms, research has suggested.

Pension software provider Selectapension has seen a 57% increase in the number of drawdown cases being analysed by advisers using its tools in the first week following the pension freedoms. Life company Prudential also reported a "surge of drawdown money" into its multi-asset PruFund after it collected £30m in funds. The government reformed the retirement income space in the last year, allowing all savers to access their pension savings and invest in products such as income drawdown. Selectapension said the pension changes, which became effective on 6 April, acted as a catalyst for...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Income

Retirement income advice: FCA finds 'mixed picture' among case files

Retirement income advice: FCA finds 'mixed picture' among case files

Regulator published outcome of thematic review into retirement income advice

Jenna Brown
clock 20 March 2024 • 5 min read
FCA tells IFAs to review retirement income advice processes

FCA tells IFAs to review retirement income advice processes

Comes after regulator’s thematic review of retirement income advice

Jenna Brown
clock 20 March 2024 • 2 min read
Addressing the 'regulatory timebomb' of income security

Addressing the 'regulatory timebomb' of income security

'Advisers remain concerned about the levels of withdrawals'

Kevin Carr and Matt Morris
clock 19 February 2024 • 4 min read