INDEPENDENT FINANCIAL ADVICE CENTRE
Authorised and Regulated by the Financial Conduct Authority
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Your Home is at risk if you do not keep up any mortgage or payments secured upon it!
You should remember that past performance is not necessarily a guide to the future. Market and currency movements may cause the value of units, and the value derived from them, to fall as well as rise and you may get back less than you invested when you decide to sell your units. The tax treatment of investments and pensions is not guaranteed and may change in the future.
Flexi Access Drawdown
This is the new pension regime and the most important thing to realise about “Flexi Access” Drawdown is that there are no guarantees. If you require guarantees you should read our Annuity section first.
In simple terms instead of giving your pension fund to an insurance company in exchange for an income, (annuity) it is possible to leave the pension fund invested and take an “income” from the fund every year.
The main points are as follows:
You can have the “income” monthly or whenever you wish, yearly, quarterly etc.
But if you take out more each year than the fund grows, your “Flexi Access”funds will be reducing in value, which will reduce what you can draw from the fund, giving you lower income in future.
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