Drawdown strategies: Pluses and minuses of target-date funds

The three main options open to anyone who eschews an annuity and prefers to go down the income drawdown route are raking off the yield generated by a portfolio, drawing down from the capital or simply leaving the savings pot well alone, in the view (or hope) that it will continue to grow. In each case, the investor must take a firm grip of proceedings, ensuring they have a very clear idea about their income and capital needs, and what they are relative to their available funds. These numbers will then go a long way to shaping the overall investment strategy in drawdown, and the target...