A Sipp provider has confirmed it will offer all the new pension income options ahead of the reforms kicking in.
Suffolk Life said it has readied its full pension range in time for April.
This includes offering the facility for beneficiaries to continue investing with a Suffolk Life Sipp through the new options surrounding the death of an investor.
Greg Kingston, head of marketing & proposition at Suffolk Life, said: "Of particular interest (to advisers) are the new options for beneficiaries, and we expect that it will not be long before advisers encourage their clients to plan retirement across generations.
"We've been given a clear steer to develop a seamless transition to beneficiaries upon death, for property investors in particular, and we've developed just that."
{desktop}{/desktop}{mobile}{/mobile}
From April 6, Suffolk Life's range of Sipps will offer:
• Flexi-access drawdown
• UFPLS (uncrystallised fund pension lump sum)
• Capped drawdown for those investors who wish to retain the benefit of the higher annual allowance
• Conversion from capped drawdown to flexi-access drawdown on request for those investors who wish to start drawing more than their current income limit'
• All flexible drawdown plans automatically converted to flexi-access drawdown so that investors may benefit from re-starting contributions if they wish
When a Sipp starts using one of the new pension options, a 'trigger event' will occur, implementing the money purchase annual allowance, which limits contributions to money purchase plans to £10,000.
Suffolk Life will automatically alert the change to support planning and advice.
Paul Evans, pension technical manager, stated: "Advisers have now got their heads around the differences between FAD and UFPLS and, given that investors are still likely to be driven by withdrawing their maximum lump sum, we expect there to be limited demand for UFPLS."
Mr Kingston said: "Our research shows us that adviser understanding of the new options, and the different benefits and implications to their clients, has developed since March last year."
Sipp firm lays out new options ahead of pension reforms
