Retirement Advantage

Repositioning the business

Retirement Advantage is a specialist in the UK retirement income market. Its market-leading products include guaranteed annuities and The Retirement Account. The latter offers a guaranteed, fixed annual income to retirees, and is aimed at people who want security from their retirement income.

The Retirement Account was developed during our ownership in response to legislative changes and enables retirees to blend certainty and flexibility through the use of guaranteed annuities and income drawdown in one tax-efficient product wrapper.

  • At a glance
  • Status: Realised
  • Exit Type: Strategic Buyer
  • Deal Type: Private Sale
  • Sector: Financial Services
  • Exit Date: January 2018
  • Initial Investment Date: November 2013
  • Website:


Prior to acquiring Retirement Advantage in November 2013, we spent several years studying the retirement income industry, realising that demographic and regulatory changes were underpinning sustained growth in this sector.

Our conviction for Retirement Advantage derived from its bespoke positioning in the UK annuities market  as well as the opportunity to improve both the operations and asset management performance of the business; and, significant downside protection from buying a back book of annuities.

During TDR’s investment

The company launched a suite of new products to address changed demand and developed an equity release mortgage origination platform.
  • Shortly after acquiring Retirement Advantage, the UK government announced major changes to tax rules in respect of retirement income that affected the UK annuities market, including Retirement Advantage. We worked with management to fundamentally reposition the business of Retirement Advantage, by developing an equity release mortgage origination business providing equity release not only to Retirement Advantage but also to third parties, thus bringing earnings to the group without the need for capital backing
  • We oversaw new product development for the retirement income market, as well as enhancements to existing products
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