Cape Times

Jargon buster: financial phrases simplified for you

- STAFFF REPORTER ◆ Source: Just Retirement SA, info@ justsa.co.za.

JUST SA’s WEEKLY jargon buster aims to give simple, plain English explanatio­ns for typical words and phrases used in the financial industry, in particular, words relating to guaranteed life annuities and living annuities.

This week, we look at the letter: J

The jargon buster is intended for informatio­n purposes only. It should not be regarded as advice as defined in the Financial Advisory and Intermedia­ry Services Act 37 of 2002 or any form of advice in respect of the policy, retirement, tax, legal or other profession­al service whatsoever.

You are encouraged to seek advice from an authorised financial adviser or to independen­tly decide what financial product is appropriat­e for you based upon your own judgement and understand­ing of your financial needs.

Just Retirement Life (South Africa) Limited is a licensed life company, regulated by the Prudential Authority of the South African Reserve Bank and the Financial Sector Conduct Authority as an authorised financial services provider (FSP number 46423).

Joint life annuity

A joint life annuity provides a steady income for the lifetimes of two individual­s, typically the main life and a spouse/partner. In the event of death, a percentage of your annuity income may continue to be paid to a surviving spouse, civil partner or named beneficiar­y. This offers stability and security, ensuring ongoing financial income following a death, but can reduce the initial starting income as more is expected to be paid over the long term.

FOLLOW OUR WEEKLY JARGON BUSTER TO HELP YOU UNDERSTAND A WORD OR PHRASE YOU MIGHT NOT KNOW

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