Professionals’ guide to drawdown 2018–19

by Richard Hulbert
Insight Analyst (Wealth and protection)

April 2018

Pension freedom has brought drawdown to the masses and moved existing pension savings from a source of income in retirement to a financial planning vehicle. This document will help advisers identify the factors to consider in their advice process and determine how to mitigate some of the issues and risks involved.

Financial advisers and paraplanners can add considerable value by helping their clients avoid the common pitfalls with drawdown which include tax, lost capital and income.

For some retirees, moving from the mindset of asset owner to custodian can create significant benefits.

This guide gives advisers all they need to know when advising on drawdown including how the market has evolved, identifying income needs and sources and the practical implications for drawdown income advice. Additionly the guide also includes:

• The death benefit options and how they impact on advice
• The different retirement options
• How to evidence the suitability of a selected level of income or withdrawal
• The issues in managing an effective drawdown strategy
• The risks associated with drawdown solutions
• The due diligence required in recommending a drawdown solution

The document is accredited by the CII/PFS and CISI for up to 60 minutes of structured CPD.