Approved Minimum Retirement Fund

An ARMF is very similar to an ARF, the primary difference is that no withdrawal can be taken from the initial capital invested until the retiree has reached 75 years of age. Withdrawals can be taken at any time from any investment gains made within the AMRF. An AMRF automatically converts to an ARF when the retiree reaches 75 years of age or upon death of the retiree.

The decision to invest funds in an AMRF versus buying an annuity which produce a minimum retirement income, will depend on individual circumstances.

If you choose a level pension, you will get a bigger income now but inflation will gradually reduce its value as you get older.