Post-A-Day products breathe life into hybrid annuities

Hybrid annuities were not successful prior to A-Day but as more products are launched they are receiving attention, and if providers can make attractive simple products they will be popular

Prior to A-Day there were a number of annuity-based products that offered something more than just a guaranteed income or an income linked to fund performance. These tended to look similar to drawdown but with annuity-style death benefits and mortality cross subsidy. While these products had their place, none of them were hugely successful and did not become mainstream. Since A-Day these products have had a new lease of life, having been brought back into the limelight by new entrants and associated press coverage. With these products, the basic principle is to use the annuity legislation ...