We'll add any DIR to your basic annuity after allowing for your chosen assumed investment return (AIR). If the DIR added is higher than your chosen AIR, then your income will increase. Similarly, if the DIR added is lower than your chosen AIR, then your income will decrease.
Declared investment returns reflect:
- Investment performance of our With-Profits Fund
- The annual charge applied
- Our current approach to smoothing
- Our own and/or industry mortality experience (which means we look at trends of when people die) and how we think they might change in future.