Ascentric has launched a tool to help advisers assess the projected income of portfolios.
The tool, called Income Forecaster and powered by FundsLibrary, forecasts how much income can be generated in a portfolio both monthly and annually.
The Income Forecaster will use funds data to analyse the yield in a portfolio and estimate its likely future income figure.
Ascentric managing director Jon Taylor claims the service is the first of its kind to be available through a platform.
He says:”The pensions freedom has created a lot of complexity around planning for retirement. In the current environment of low interest rates it is increasingly important that advisers and clients have access to the right information to help navigate the challenges they face.”
The service, which is not meant to substitute or reproduce existing cash generator tools and has no charges, currently uses funds which are aimed at income generation.
Ascentric’s Mike Crossley, SIPP operations manager says the firm will also look to include equities, investment trusts and ETFs in the future.
Crystal Wealth Management director Chris Hughes says:“For me, the key benefit of the Income Forecaster is that it simplifies the conversation with clients about their income.
“By visualising the income stream, it really helps to educate them on the nuances of their arrangements such as the timing of payments and the impact of withdrawals in a way that words alone can’t always do.”