A new fund has been designed to make it easier for pensioners to invest in their retirement.
Standard Life and Fidelity International have partnered up to launch the Standard Life Smoothed Return Pension Fund.
It will be trialled with a small group of advisers before a full market launch later this year.
The fund will be aimed at advised investors wanting some shelter from the uncertainty of investing with the smoothing process designed to "cushion the daily ups and downs of the stock market", said the firms.
Claire Altman, managing director for individual retirement at Standard Life, said: "One of the biggest issues we currently face as an industry is ensuring good outcomes for people at retirement, which is at the very heart of the need for innovation.
"There is a lack of choice, especially for people looking for solutions to help manage daily stock market volatility when it comes to their retirement savings – a risk many planning for or already in retirement may feel unable to take."
Standard Life, part of Phoenix Group, will bring the fund to market and provide smoothing, valuation and supporting capital while the underlying assets will be managed by Fidelity’s asset management business.
It will be available exclusively through Fidelity Adviser Solutions, an investment and retirement services platform for financial advisers.
Dennis Pellerito, head of UK wholesale at Fidelity said: “With the UK’s population living longer than ever before, there is a clear demand for a range of financial solutions which cater to the different needs of an ageing society.
"As people spend longer in retirement, they require products and services which offer flexibility and can be tailored to their goals at any stage.
"The financial services industry – and in particular the advice sector – has a significant role to play in supporting these goals."
tara.o'connor@ft.com
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