Pension Draw Down

Mouse_trap

I have a very small private pension from which I decided to draw down  25% tax free in May. At the time it was worth around £29,500. By the time my Pension company had drawn up and posted the paperwork for me , it had gone up by a thousand pounds. Unfortunately it has  guaranteed annuity and now I an unable to get my money unless I go to a financial advisor! I have been phoning them every week to check on the price but so far it has stayed above £30,000. Does anyone have a suggestion of how to retrieve my money and is it likely to drop below the £30 000 ?

Marcon

Mouse_trap said:

I have a very small private pension from which I decided to draw down  25% tax free in May. At the time it was worth around £29,500. By the time my Pension company had drawn up and posted the paperwork for me , it had gone up by a thousand pounds. Unfortunately it has  guaranteed annuity and now I an unable to get my money unless I go to a financial advisor! I have been phoning them every week to check on the price but so far it has stayed above £30,000. Does anyone have a suggestion of how to retrieve my money and is it likely to drop below the £30 000 ?

Depends on the funds in which you're invested. If the capital is very safe, then the value is less likely to drop than if you are in highly volatile funds such as especially adventurous equities...

FIREDreamer

Marcon said:

Mouse_trap said:

I have a very small private pension from which I decided to draw down  25% tax free in May. At the time it was worth around £29,500. By the time my Pension company had drawn up and posted the paperwork for me , it had gone up by a thousand pounds. Unfortunately it has  guaranteed annuity and now I an unable to get my money unless I go to a financial advisor! I have been phoning them every week to check on the price but so far it has stayed above £30,000. Does anyone have a suggestion of how to retrieve my money and is it likely to drop below the £30 000 ?

Depends on the funds in which you're invested. If the capital is very safe, then the value is less likely to drop than if you are in highly volatile funds such as especially adventurous equities...

As it has a guaranteed annuity rate (GAR), I suspect (in fact I am 99% certain) that the policy is invested in either a conventional or unitised with profits fund, so the fund doesn’t move very much and tne trajectory is upwards - it may drop if interest rates go up (but they have probably peaked and on their way down now).

In 35 years in financial services I have only ever seen ONE true unit linked product with a GAR and it was invested in tne insurer’s managed fund with a low equity content, very unlikely to be the case here, it dates from the 1980’s.