Aviva Investors, the global asset management business of Aviva PLC (‘Aviva’), has today announced they have revamped their range of three Retirement Income Model Portfolios (MPS). These solutions are designed to provide investors with an effective income solution in retirement, using best-in-class Aviva Investors and external funds.
Aviva Investors launched its first model portfolio service back in 2022, built in partnership with SimplyBiz, to feature in SimplyBiz’s Risk Controlled Workflow. The MPS has been revised to benefit from the deep expertise Aviva Investors has in managing institutional workplace pension strategies.
With signficiant investment and income challenges affecting clients in retirement, including longevity and sequencing risk, the Retirement Income Portfolios seek to address both of these issues. By using Aviva Investors’ proprietary Strategic Asset Allocation, the proposition targets a natural income on a regular basis through fund distributions.
The new MPS will have three portfolio options, which are as follows:
- AI Retirement Income Portfolio I (Lowest risk)
- AI Retirement Income Portfolio II (Medium risk)
- AI Retirement Income Portfolio III (Highest risk)
All three portfolio options will be carefully constructed from a range of global assets, with the objective of maximising the long-term income generation for investors. These portfolios are available across all tax wrappers, and will initially be available on the Aviva Platform.
The Retirement Income Model Portfolios will be managed by Aviva Investors’ Multi-asset team who have over 50 years’ experience managing multi-asset solutions. The Portfolios remain part of SimplyBiz’s Risk Controlled Workflow, though will also be available to advisers who utilise Defaqto Engage, with other risk profilers to follow.
Smera Ashraf, Global Head of Wealth – UK at Aviva Investors, said:
“Aviva Investors has a deep heritage in the pensions and retirement space, and we are pleased to draw from this experience as well as listening to our clients to revise our Retirement Income MPS. This addresses the complex requirements of the retail and IFA market in a growing area.”
Andy Parsons, Head of Investment & Protection at Defaqto, said:
“It is great to see Aviva Investors bringing to market a solution that not only utilises their extensive expertise in managing institutional workplace pension strategies, but that seeks to address the challenges of longevity and sequencing risk, a key issue when discussing retirement strategies with clients. This will all be delivered through three MPS solutions, targeting natural income on a regular basis.”
