AXA Wealth is offering investors more flexibility with a guaranteed minimum retirement income through its AXA Life Invest’s Secure Advantage+ product.

Research from AXA Wealth confirms that people want the security of a lasting guaranteed level of income with the potential for income growth. Increased demand has meant that AXA Wealth will offer this unit-linked guarantee product as part of its soon to be launched reform-ready retirement portfolio service.

“Unit-linked guarantees are coming of age. While they may have been more niche in the past, the new pension reforms will open up many new retirement planning opportunities for these types of flexible products," said David Thompson, managing director of proposition and business development at AXA Wealth. 

"By offering our advisers and their customers access to Secure Advantage+, we are giving people the security of an annuity, but with all the flexibility and benefits of income drawdown. Plus the added advantage of a tried and tested product in the market place.” 

Secure Advantage+, customers can choose optional features to benefit from a minimum guaranteed income for life that can be turned off and on as needed, they also have the ability to take more income at the beginning of retirement, when they may be more active. 

In order to combat volatility, investors can select different investment strategies according to their attitude to risk and potentially benefit from volatility protection built into the underlying funds. There is also the option of adding on a death benefit to their plan, which gives named beneficiaries the full value of their drawdown plan, minus any withdrawals taken over the policyholder’s lifetime.

“We believe the market for unit-linked guarantees will grow significantly in the UK from April 2015 onwards," said Simon Smallcombe, global director of distribution, AXA Life Invest, said. 

"Investors worldwide face the same challenges of longevity, inflation and volatility. The old days of a one size fits all solution are well and truly over for both advisers and their clients. New sophisticated approaches focused on combining different solutions to best suit investors’ individual needs can only result in better outcomes in retirement. ”