What is Drawdown?
Drawdown, or Flexible-Access Drawdown, is an invested retirement product which allows you to control and change how much income you receive. Your fund remains invested, giving it the opportunity of further growth.
Unlike an annuity, Drawdown offers you the flexibility to make changes to your plan as and when you require. You can change the level of income you receive, the frequency of payments and where your funds are invested.
As with all investments, there is a certain level of risk associated with Drawdown. The value of your fund can rise or fall, but the objective is that you will enjoy healthy growth through the lifetime of the plan. Your IFA will work with you to understand your attitude to risk, and your fund will be invested in a portfolio which is appropriate for your objectives and circumstances.