Perpetual Annuity      Underwritten by Old Mutual Alternative Risk Transfer Ltd (OMART), a registered long-term insurer in the Old Mutual Group.

Transfer your Retirement Annuity, Preservation, Pension and Provident Fund (at no cost and tax-free) to our Living Annuity when you need a monthly income at retirement (age 55).

Investment Choice:

Choose one, or a combination, of our underlying funds to find a solution that suits your individual income and capital requirements.

Income

  • Providing you with a consistent and reliable annuity from your retirement savings (current legislation restricts you to drawing between 2.5% - 17.5% per annum).
  • Match your income drawn to the income produced by your investment.
  • Meet your current income needs while planning for your future income needs.
  • Long-term income planning for the duration of retirement with a high degree of certainty.
  • Income drawn may be revised annually upon anniversary.

Capital:

  • Capital may be grown, preserved or drawn down depending on your needs.
  • Ensure your capital is not eroded: match annuity drawn to income earned.
  • Capital is accumulated through the tax-free reinvestment of excess income.

Tax:

  • Transfers: Transfers from your Pension, Provident, Preservation or Retirement Annuity fund are tax free. The tax deductions previously granted on contributions are preserved.
  • Income: PAYE is deducted by Marriott from the annuity payments in accordance with prevailing income tax legislation.
  • Dividend Withholdings Tax is not applicable.
  • Capital: No Capital Gains Tax (CGT).

Flexibility:

  • Rebalance your portfolio at any time, no CGT incurred.
  • Income may only be revised at anniversary.

Withdrawals:

No withdrawals may be made from your capital investment.

Death:

You may nominate beneficiaries at inception and make changes at any time. Beneficiaries can elect to receive a lump sum (subject to tax legislation) or to transfer the investment to their own name, or another living annuity.

Fees Technical Information
Marriott Initial Fee
0%

Advisor Initial Fee
(paid from consideration received)

Max 1.5%
Marriott Annual Management Fee

(includes Administration Fee and Binder Function Fees, Asset Management Fee, Insurer Fee and Intermediary Administration Fee)

  Class A Class C
High Income Fund 1.00% 0.75%
Balanced Fund 1.75% 1.25%
Worldwide Fund 1.75% 1.25%
Essential Income Fund 0.75%
  Class B
Money Market Fund 0.5%

Advisor Annual Fee
(paid from distributions earned and where necessary through a repurchase of units)

  Class A Class C
  1.00% 0.75%

Intermediary Admin Fee
(paid from Marriott Annual Management Fee to Advisor)

  Class A Class C
  0.25% 0%
  No Intermediary Admin Fee for the Money Market Fund
  Minimums
Lump Sum
R50 000
Additional Investment
R20 000
Debit Order
 
  Income Details
Payment Frequency
Monthly
Payment Date Options
25th or 28th of the month: Processed as a repurchase of units. Distribution earned at the end of the month is reinvested.
3rd working day of the month: Income is paid from income earned. Any shortfall is funded by a repurchase of units. Any excess income is reinvested.
Money Market Account
The Money Market account can be used in conjunction with the other Fund Choices to facilitate the payment of monthly income if you want unit stability in your income-producing assets, and for Income Solution clients who want to avoid incurring CGT.
 
  Client Statements
Quarterly Statements
Dated as at the end of Feb, May, Aug, Nov
Annual Tax Statements
IT3a or IRP5