A typical drawdown portfolio would be around 60 per cent invested in equities with the remaining 40 per cent in bonds, gilts and some cash to cover income withdrawals, although this will vary depending on the investor's risk appetite. Remember that if you are drawing an income from your plan you will need to have cash available to withdraw, otherwise you will be forced to sell investments to provide your income when it may not be the right time to sell.
To continue reading, register today
to enjoy limited access to the following:
- Daily trading news
- Funds coverage
- Features on big investment themes
- Comprehensive companies coverage
- Economic analysis