This annex belongs to COBS 19.1.3AR.
[Note: The FCA has also issued non-Handbook guidance for firms who advise on pension transfers. See https://www.fca.org.uk/publication/finalised-guidance/fg21-3.pdf]
| Transfer value comparator | ||
| R | ||
| 1 | The firm must: | |
| (1) | revalue the future income benefits in COBS 19.1.3AR(1) by projecting them to the date they would normally be paid in accordance with the assumptions in COBS 19 Annex 4C 1R(4); | |
| (2) | determine the estimated future cost of the pension annuity in accordance with the assumptions in COBS 19 Annex 4C 1R(2); and | |
| (3) | apply the rate of return and charges in COBS 19 Annex 4C 2R to the amount determined in (2) to determine the estimated value needed at the calculation date. | |
| R | ||
| 2 | [deleted] | |
| G | ||
| 3 | [deleted] | |