Projected annuity incomes have fallen again over the past four weeks due to flagging equity markets.
The latest data from Aon Consulting says for 30 year olds who plan to retire at 65, incomes have shrunk by £544 per year as their pension pots have greater exposure to equity markets. By contrast, 60 and 65 year olds enjoyed a modest increase in projected retirement incomes of £52 and £61 respectively, regardless of the slight drop in equities. Aon bases its research on individuals contributing 10% of a £25,000 salary to a DC scheme and having a fund of £15,000 at 30 or £150,000 at 55 or over. "Whilst this month's figures paint a more positive picture for those closer to retirement...
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