Glossary - Annuities
Description
Annuities are financial products that convert a lump sum—typically from a pension—into a guaranteed income for a specified period or for life. They are commonly used in retirement to provide certainty of income, regardless of market performance or how long the individual lives.
Alternate Names
- Lifetime annuity
- Fixed-term annuity
- Pension pot
- Guaranteed income
- Inflation-linked annuity
- Income drawdown
