Market Linked pensions

Market linked income streams are another type of pension or annuity option available to retirees. Benefits paid through a market linked income stream are generally linked to the value of, or interest in, the underlying assets giving rise to the benefits. As a result, the account balances of persons receiving a market linked income stream will usually fluctuate with these assets. Benefit payments are calculated using a set formula contained in the legislation.
Market linked income streams are treated as benefits that meet the pension and annuity standards. They are generally measured against the higher pension reasonable benefit limit (RBL).