Morgan Stanley Smith Barney has added a fixed income annuity from Nationwide to its unified managed account platform, so that investors have the option of selecting lifetime income. The brokerage is calling the option Select Retirement.
“We expect that the ability to combine a UMA with access to guaranteed lifetime income will be viewed by our industry as an important step forward,” said James J. Tracy, director of the consulting group for Morgan Stanley Smith Barney. “Select Retirement creates an opportunity to offer clients income guarantees that were not previously available for UMAs that include separately managed accounts.”
The two companies believe the option will be popular among retirees or near-retirees who are hesitant to return to the equities market.