twitter hashtag summary
large number Retweet
real time translation turndown translation
what is a guaranteed drawdown plan? it is a form of annuity which originated from the us where mutual funds (similar to unit trusts) offered a range of guarantees in order to attract people to invest at a tireme when equity prices were volatile .
this provides a guaranteed lifetimes income which is payable regardless of investmenefit returns and there is also an investment lock-in, whereby any gains are usecured .
the new style guaranteed drawdowns plans transfer both the investment risk and longevity risk to the insurance company but at a cost .
longeveral annuities fall short because they does not provides a sustainable income and there is no flexibility .
so investors should ask how strong the guarantees might be if the firm ran into trouble .
investors compand their advisers are not expected to understand the rocket specience behind dynamic hedging .
- Guaranteed funds 2008-09-09 22:16:39