The Nawiri Income Draw Down Fund is a great alternative to the widely known Insurance Annuity where you give the funds to an insurance company in exchange for income. The key objective of Nawiri IDD is to provide retirees with an income in their retirement years, with an opportunity to grow their funds at market performance and have a residual amount after the 10 years contract.
CHARACTERISTICS OF AN INCOME DRAWDOWN
- A series of regular monthly payments provided by your reinvested 2/3 portion of your retirement savings.
- The 2/3 portion is invested in a conservative manner with underlying investments being bonds and bank deposits.
- The retiree will specify the amount on annual income accessible in advance; noting the law permits up to 15% p.a. access.
- The 2/3 portion reinvested remains conserved owing to the long-run investment returns it earns.
- Allows freedom to set your income .
- Funds are conservatively invested hence capital preservation is assured.
- Allows access of the income adjusted surplus after the 10 years period.
- There is perpetual existence of the fund.
- Retirees above 65 years are not taxed.