Just Retirement Share Discussion Threads

[scrapheap] 07/10/2014 10:45

This is very good news if confirmed - making the FSCS now cover annuities 100% not 90% as now...

Will reassure clients and advisers in using the JRGs and PA.s knowing the FSCS stands fully behind them should the worst happen....

[scrapheap] 06/10/2014 14:12

Deutsche Bank: Market has 'completely misunderstood' pension death tax changes

[scrapheap] 06/10/2014 08:06

Deutsche Bk has maintained price target of 180 and UPGRADED from 'hold' to 'buy'.

Reassuring.

[scrapheap] 29/9/2014 18:16

Good to see a director bought circa 39k shares in his SIPP late on too - 1/2 hour after me!!!

Great minds and all that...

[scrapheap] 29/9/2014 15:48

Death benefits announcement doesn't help sentiment but doesn't alter things massively for people needing income for life 'underpin'....

I've bought another big chunk today as view this as a sentiment driven hit.

[scrapheap] 23/9/2014 17:23

Ignores the differing death benefits which are basically nothing if deferring the state pension BUT can be 100% of the private pension pot if no benefits taken from it before the age of 75 - can also be nominated not to spouse but to children / gdchildren and thus very IHT friendly. If you don't die before 75, then you take benefits just before then from it.

all depends what your priorities are..

[dasv] 22/9/2014 09:11

This loophole may result in greater retirement date deferral rates - i.e. those soon to retire may delay their retirements to exploit the 10% increase p.a from the state pension:-

"
On a typical £40,000 pension pot, pensioners can currently obtain £1,400 a year through an inflation-linked annuity. This money could instead be used to secure an inflation-linked £2,800 a year from the state.


So what is the secret? The key is to delay the date at which you take your state pension. For each year of delay, the Government raises the pension's value by 10.4pc, in addition to annual increases linked to inflation.
"
...


"Here is an example of how the scheme might work. Imagine a 65-year-old man who retires with £40,000 in his pension fund. He is entitled to a state pension (basic state pension plus state second pension) of, let's say, £7,000 a year. If he decides to buy an inflation-linked annuity with his pension savings this would give him £1,400 a year – so a total of £8,400.

If he chose to defer his state pension and withdraw £9,800 from the pension fund, leaving the balance in cash, he would have a higher overall income – which he can effectively guarantee for life.

If each year he increases the amount withdrawn by 5pc to cover rising living costs, the fund would run out in around four years, by which time his income would have risen to £11,910. At this point he could take his deferred state pension, which would also have grown to £11,910, assuming it had been uprated by 10.4pc a year in line with the rules on deferral and by an extra 5pc a year for inflation. This means there is no decrease in his income. Had he taken his state pension and the annuity from the start, his income would have reached just £10,210 by this stage – £1,700 less. In both cases, the pension would then continue to rise in line with inflation.
"

[scrapheap] 18/9/2014 15:55

Just out that a director bought 100k in his SIPP with Hargreaves Lansdown - they didn't get him a great price, over 145p a share which is way above the trading shown today!!!

I guess he won't mind too much....but

[scrapheap] 18/9/2014 07:31

Nice to see a decent dividend in today's results. Yes there's challenges, especially short term, but the booming LTMs, growing DB derisking and launch in to INAs along with enhanced annuity business just over 50% down is not a bad place to be as I expect a lot of that business to return post April 2015 - plus new products to come too.

Embedded value of 191p I think i read too.

[scrapheap] 11/9/2014 19:09

results a week today could see us up or down a bit, or like PA do v little!

[melody9999] 11/9/2014 17:17

Sold out my remaining 5200 early on for 143. something. I figured this would be a good hold through the summer after the share price declined so heavily.... but nothing seems to be happening and I am looking for some faster moving investments as we get into October and near to Xmas. GLTH

[scrapheap] 11/9/2014 11:08

Just a third???

Drawdown sales shoot up post-Budget as annuity deals drop by a third

[scrapheap] 08/9/2014 15:02

Encouraging that per HL website today, Panmure Gordon has reiterated Buy on JRG and a price target of 225p.

[smackers prudentia] 19/8/2014 05:50

The point here IMO is that the main life assurance companies have lots of existing pensions on their books that they have historically only converted into annuities due to client apathy (but have made huge profits from)The likes of JR have offered and marketed significantly better (for the clients) products that have been recommended by AdvisersIf they can now come up with a good flexible pension drawdown product they have a chance of replacing their lost annuity business - the harder part will be getting the general public to shop around and 'finding' JR rather than the apathy kicking in again and them staying with their current pensions provider's offering I think if JR also work on better Long Term Care products and Equity Release they can overcome this set-back and be better off especially if they are less reliant on any one single product

[scrapheap] 05/8/2014 11:16

V encouraging report from towers perrin re q2 sales on enhanced annuities sales, they say plummet a third, I say just a third! Money marketing story but I can't post link as on hols abroad. Can someone else? Ta

[scrapheap] 28/7/2014 15:02

This is interesting......


Mutual LV= has reported strong annuity sales for the second quarter of the year despite the sweeping changes to retirement income announced in the 2014 Budget.

The insurer said life business sales were up £80m compared to this time last year, though it added annuity contracts were being written at lower margins.

Group CEO Mike Rogers said the business had initially expected annuity sales to be "significantly lower" after the Budget announcement.

He said the sales figures reflected the firm's launch of a one year fixed annuity and its simplified drawdown product.

Beating expectations

Roger's added: "We initially expected annuity sales to be significantly down but sales have held up well and are up over 30% year-on-year albeit at lower margins. In Q2 post-Budget we saw sales of £117m, slightly more than Q1 demonstrating our continuing strength in this area."

Annuity sales for the six months to the end of June were £232m. For the six months ended 30 June 2013 they were £176m. The firm said annuity sales for the 12 months needed 31 December were £457m

Equity release, he added, had also performed well with sales up more than 50% to £57m.

[scrapheap] 25/7/2014 14:30

Agreed - and these 2 firms should be most agile to benefit from the new options they will be allowed to offer.

[rathlindri] 25/7/2014 10:49

Thanks 18BT, certainly the picture is not as bad as it is being painted

[18bt] 25/7/2014 10:46

And this is another interesting study on the future of the UK annuity market:

[18bt] 25/7/2014 10:16

This is worth a read on the underlying market: