Weekly Question - Pensions
Written by Niel Gavin on 06/06/2019

Q: What is a “Critical Yield A” in the area of Pension Drawdown?

 A: The investment return required to provide inflation linked income

B: The investment growth required to maintain a chosen level of income

C: The investment return required to match the annuity that could have been purchased at outset

D: How much the provider believes the chosen fund will grow by each year



Answer is C.

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