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Launched: Aviva Pension Portfolio Trust

Jun 16, 2017, 16:09 PM

What does it mean for your clients?

Pension Portfolio Trust
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Based on trust law and the flexibility offered by 2015’s pension freedoms, we offer clients more control over later-life financial planning with  the Aviva Pension Portfolio Trust.

The new trust solution for today’s families

The Aviva Pension Portfolio Trust can give your clients more room for manoeuvre when planning bequests from our Pension Portfolio. It gives advisers an additional tool to plan for inheritance and can be particularly useful for clients whose immediate family structures aren’t straightforward. For example, in an environment where an estimated 42% of marriages in England and Wales end in divorce (ONS December 2016) passing on pension benefits can be complicated. Our proposition helps address this issue.

Your client’s wishes are our top priority

The Aviva Pension Portfolio Trust allows clients to nominate the destination of their pension benefits with the knowledge that they can rest assured their wishes will be carried out by their own trustees, rather than relying on the discretion of scheme administrators. So if your client is in a second or subsequent marriage and wishes to leave a pension to the new spouse and then to children from previous marriages, this can be arranged. You can’t guarantee this with a flexi-access drawdown arrangement.

Flexibility in later-life planning

Tim Orton, CEO of the Aviva Platform, sums up the advantages: “It can be suitable where the beneficiaries aren’t necessarily the obvious choice and give more flexibility for people when they plan their bequests. This will become increasingly important in an age of complex family relations.”

He adds: “It could suit situations where a client wants to ensure that their nominated beneficiary can benefit during their lifetime, but they also want to be able to choose who the remaining capital will be passed to on their death. This scenario will be familiar to advisers helping their clients with later-
life planning.”

For more information, please get in touch with your usual Aviva contact.

WA04194 06/2017

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