Defaqto report - Hybrid solutions - an innovation in retirement planning

The one thing that pension freedom has created is choice – lots of choice. This includes the advent of hybrid solutions. 

The report, independently produced by Defaqto, looks at some of the key innovations in the hybrid space:

  • Drawdown was typically the preserve of high net worth clients, but not any more – clients are seeking more flexibility
  • But they still want some simplicity and security to pay the bills – so annuity still has its place

As a result there are two very clear new product definitions

Hybrid - combination of separate retirement solutions, facilitated through a single product wrapper

Blended - combination of separate retirement solutions, facilitated through a multitude of individual product wrappers



The report will help advisers understand: 

  • the benefits of categorising income and capital needs in retirement
  • how to identify suitable income sources for different income categories
  • the three high level ways of securing income in retirement
  • the due diligence required in recommending a drawdown solution
  • the risks to be considered in managing an effective drawdown strategy
  • the key legislation changes to the death benefits applied to pension savings
  • how Retirement Advantage can help those needing income in retirement
  • when it is appropriate to use The Retirement Account from Retirement Advantage