Retirement Options for members reaching 75

Before 6th April 2006 the only option available to SIPP members approaching the age of 75 was to secure their pension by purchasing an annuity. SIPP members now have the option to:

• withdraw an income directly from their pension fund under the ASP rules, or
• purchase an annuity.

You need to consider carefully which option is best for any of your clients as they approach age 75. Within our dedicated Adviser Centre www.alliancetrust.co.uk/adviser we now have a video and a bulletin, produced by our Pensions Technical Team, which talks through these options in more detail and will help you to make the best choice for your clients.

While in our Adviser Centre why not take a look at some of the other features which we have developed to help you:

• Pension Illustration Service
• Literature Library
• Other Frequently asked Pensions Technical Questions

We are currently reviewing our processes and procedures to ensure that we are offering as efficient a service to your clients as we can. With this in mind, we will be harmonising the date that we pay your client's regular income from the Full SIPP. With effect from 20th June, all income payments will be made on 20th of the month. In order to smooth the transition, we plan to pay income up to 5th June as normal. Any clients who are due to receive income between 6th June and 19th June will instead receive it on 20th June. You will benefit from this because you will know exactly when your clients' income is due to be paid which may lighten the administration burden. Clients will benefit because they will know for certain exactly when their income is due each month.

Within the next 5 days we will be issuing all members of the Alliance Trust Full SIPP with their annual valuation report. This is an FSA requirement and the report will include values of all the assets held within each member’s Full SIPP as at 5th April 2008. You will receive a copy of each of your clients’ report for information.

Going forward, annual valuations for all Plans will be created as at 5th April and will be issued to members within a month of this date with a copy sent to you.

Any transfers into the Alliance Trust Full SIPP from another SIPP provider will currently benefit from a special promotional set-up fee rate of £100 plus VAT per SIPP to SIPP transfer. The offer ends on Friday 30th May 2008, so if you have any SIPP transfer cases in the pipeline, please ensure these are fully completed before this date. From 30th May our standard set-up fees will apply. If you have any queries about this or would like to discuss a potential transfer please contact a member of our Business Development Team directly.

If you have any further questions please contact our Business Development Team.

Regards

Kelly O Donnell
Managing Director of Distribution

For adviser use only.

Email: advisersupport@alliancetrust.co.uk
Web: www.alliancetrust.co.uk/adviser

Alliance Trust Savings Limited is registered in Scotland No. SC 98767, registered office, PO Box 164, Meadow House, 64 Reform Street, Dundee DD1 9YP, is authorised and regulated by the Financial Services Authority whose address is 25 The North Colonnade, Canary Wharf, London E14 5HS firm reference number 116115; gives no financial or investment advice.

Telephone calls may be recorded for training and security purposes.

Full statements on our privacy policy, related policies and statutory legal information are available on our website www.alliancetrust.co.uk 'alliancetrust' is the brand name of Alliance Trust PLC and its subsidiaries.