Fidelity Investments has introduced an annuity purchase program, Fidelity Lifetime Income Solutions, that will enable 401(k) plan participants to convert part of their savings into a pension-like guaranteed retirement income stream.

"It is for people who are retiring and ready to create lifetime income. The minimum age is 45 and, since the annuity purchased from the 401(k) is considered a rollover, there is no pre-59-1/2 early withdrawal penalty," said Tim Gannon, vice president, Fidelity retiree products.

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