A bright future for with-profits

With-profit annuities provide investors with an excellent way of obtaining an income for life with the real potential for growth at a time when people are increasingly cautious of equities

With-profit annuities have been actively marketed since 1987 when Equitable Life launched its range of investment-linked products. The market received a boost when Prudential entered the market in 1991. However, advisers and their clients are now quite rightly cautious about these products following the reduction in bonuses and income. So is there a future for with-profit annuities? With-profit annuities combine the advantages of an income for life with those of investing in real assets. Pensioners are living longer and looking to enjoy a higher standard of living, so maximising pension ...