Are variable annuities becoming endangered?

The third way market has expanded rapidly over the past four years with providers developing variable annuities, as well as fixed-term and asset backed annuities. The reasoning for developing these products has been sound. While many retirees wish to purchase an annuity or go into income drawdown, there remain a large portion of clients who may want more flexibility than an annuity can provide but don’t wish to expose themselves fully to the vagaries of the stockmarket via income drawdown. These third way products go some way towards bridging the gap by enabling retirees to benefit from ...