Pensions - Articles - People relishing the flexibility that drawdown provides

 “The latest figures show a further clear move away from annuities, with sales falling by more than half in the first year since the pension freedoms came into force, and the total value of annuities in the UK is sitting at just £4.2billion, down from £7billion in 2014. It is evident that people have embraced the pension freedoms with many relishing the flexibility that drawdown provides, with £6.1billion now invested over the year since April 2015. While drawdown provides far greater flexibility than an annuity, it also means people’s savings remain invested in the stockmarket and can rise and fall as a result. While some people will be comfortable taking on this risk, for others it may be a concern and for them drawdown with guarantees provides a mixture of flexibility and security.
 
 “One of the key challenges of modern retirement is meeting the need for flexibility, particularly in the early years of retirement, with the security of an income for life. Drawdown with guarantees incorporates all the positives of drawdown, but with the added benefit of securing a minimum income for life.”