P271 CEEFAX 271 Sat 26 Feb 17:57/18
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n1n1 |.% ANNUITIES
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5 Annuity rates are calculated with j
5 regard to life expectancy, returns j
5 on fixed interest investments and j
5 life company expenses. j
5 j
5 This means that rates increase with j
5 age, and rise or fall depending on j
5 the return on the current yields j
5 from medium dated gilts. j
5 j
5 As an annuity is for life, there j
5 are a number of options that j
5 provide protection from early j
5 death, such as guarantee periods j
5 and spouse's benefits. j
5 j
5 Annuities can increase each year as j
5 a hedge against inflation. j
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