Advisers need more information and education to confidently explain and recommend Third Way retirement income plans to clients, according to Rayner Spencer Mills.
As a result, the research provider has produced a free Retirement Income Options Adviser Guide sponsored by five major providers: Aegon Scottish Equitable, Axa, The Hartford, Lincoln Financial Group and Metlife.
Geoff Mills, director at Rayner Spencer Mills, says advisers are unsure where Third Way plans fit with the guarantee of an annuity and the flexibility of a drawdown and are concerned about the structure and charges.
“We wanted to come up with a practical guide for advisers, looking not just at the plans, but at the background to the market and how to evaluate which, if any, may be an appropriate product choice,” he says.
“There can be little doubt that the ability to guarantee levels of future income or protect capital will meet the needs of an increasing number of retirees in the UK.”
The guide simplifies and compares the differing options by including summaries and tables.
“We want advisers to start to feel confident to at least discuss these options with their clients so they avoid the risk of recommendations today moving against their client’s future interests,” he adds.
Advisers can download the free guide at: www.rsmgroup.co.uk/portal along with other services. Product details are available from the providers as well as seminars on Third Way plans.IFAonline
Latest news and analysis
PA360 2019 revisited
Sector regulated by FPA
Future World funds
Achievements, charity work and other happy snippets