Annuities growth will be driven by platforms
More planners are likely to use annuities if they can access them via platforms, according to financial services specialist research firm.
Research conducted by Marketing Pulse found that around two thirds of planners expect the availability of annuities through major investment platforms will increase the use of annuities.
The majority of these planners believe recommendations would increase by 10 to 20 per cent, while 27 per cent of surveyed planners who do not currently recommend annuities said they would do so within the next 12 months.
The survey results comes as Challenger has announced the availability of its annuity products via Colonial First State FirstChoice and FirstWrap platforms following partnerships with industry super fund VicSuper to launch an income product for retirement-style and the provision of annuities via the platform of administration provider AAS.
Challenger's Chief Executive, Distribution, Product and Marketing, Paul Rogan said these arrangements were an important development and were part of a growing superannuation industry trend to make retirement income strategies more readily available.
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