Best retirement annuity

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Claire2014

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I am looking to invest in a RA (first time RA investor). I have a pension fund through work, own a property and already invest in Satrix ETFs. I just want a simple RA on the most reasonably priced platform for a good return. (I do have a share trading account through Investec but not sure if they have RAs or if reasonable in the market) Thanks!
 
Look at what happens when you get to retirement age.
Read the small print very very carefully.
Especially as the idiots trying to destroy the country move the goal posts trying to get their thieving paws onto anything that does not belong to them.
 
Took out an Old Mutual Max Retirement annuity in 2014. In 2017, experienced some financial difficulties and made the policy paid up. Every month, Old Mutual recovered expenses that they incurred for commissions and administrative costs. Returns from the investment were used to pay these costs.

When I was financially back on my feet, I transferred this RA to 10x. I had to incur a transfer cost payable to Old Mutual, but recovered these in the preceding years with 10x.

From my experience so far, you won’t go wrong with 10x. No commissions and low fees.
 
Claire2014 said:
I am looking to invest in a RA (first time RA investor). I have a pension fund through work, own a property and already invest in Satrix ETFs. I just want a simple RA on the most reasonably priced platform for a good return. (I do have a share trading account through Investec but not sure if they have RAs or if reasonable in the market) Thanks!
Click to expand...
I take it you have one already. Satrix have an RA option and you’re already on the platform, so I’d go with that.

You can have multiple RA’s so take one out at a 2nd place. Allan Gray is also good.
 
hello all

so im looking into one

i have only a little money left over

so i asked my broker for a quote

  1. Paying R2500 per month till age 60 with a 10% growth in premium each year
  2. You looking at between R4 822 200 and R5 916 600
  3. With Ra,They pay you one third and two thirds gets reinvested and they pay you a monthly income until death
  4. If you opt to go no increase each year you looking at R2 513 000

now to me if i pay R2500 * 240 months or so i would be paying around R600k

how are these figures of R2.5m and all worked out
 
I.am.Sam said:
hello all

so im looking into one

i have only a little money left over

so i asked my broker for a quote

  1. Paying R2500 per month till age 60 with a 10% growth in premium each year
  2. You looking at between R4 822 200 and R5 916 600
  3. With Ra,They pay you one third and two thirds gets reinvested and they pay you a monthly income until death
  4. If you opt to go no increase each year you looking at R2 513 000

now to me if i pay R2500 * 240 months or so i would be paying around R600k

how are these figures of R2.5m and all worked out
Click to expand...
Quite aggressive with a average compounded growth of 12% nett.
 
I.am.Sam said:
hello all

so im looking into one

i have only a little money left over

so i asked my broker for a quote

  1. Paying R2500 per month till age 60 with a 10% growth in premium each year
  2. You looking at between R4 822 200 and R5 916 600
  3. With Ra,They pay you one third and two thirds gets reinvested and they pay you a monthly income until death
  4. If you opt to go no increase each year you looking at R2 513 000

now to me if i pay R2500 * 240 months or so i would be paying around R600k

how are these figures of R2.5m and all worked out
Click to expand...
Time value of money.

Basically what happens is that each deposit is considered to grow at a certain rate of return until you reach the desired age. So R2500 deposited this month, growing at 10% per year for 20 years becomes R16 818. If you do this with every payment you plan to make and add it all up you get to the expected future value.
 
GrootVoet said:

Retirement Annuity Transfer

Secure your financial future with EasyEquities. Start your retirement savings journey today, no matter your budget, and build a portfolio for a comfortable life after work.
ra.easyequities.co.za ra.easyequities.co.za
Click to expand...
I have a pension fund with metropolitan and bought a satrix bundle on easyequities. I'm going in blindly, but I can see in the comments Satrix is a good option.
 
I.am.Sam said:
hello all

so im looking into one

i have only a little money left over

so i asked my broker for a quote

  1. Paying R2500 per month till age 60 with a 10% growth in premium each year
  2. You looking at between R4 822 200 and R5 916 600
  3. With Ra,They pay you one third and two thirds gets reinvested and they pay you a monthly income until death
  4. If you opt to go no increase each year you looking at R2 513 000

now to me if i pay R2500 * 240 months or so i would be paying around R600k

how are these figures of R2.5m and all worked out
Click to expand...

What will the premium per month be at say age 55 at 10% per year?
 
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