Investment changes approaching retirement

How the glidepath works

Our 15-year glidepath is designed to safeguard members’ pension savings as they approach retirement.

Each of our investment profiles gradually and automatically moves members’ money into lower-risk investments as they get closer to retirement. This means their savings are less likely to suffer a large fall in value just when they want to use them.

The glidepath should result in a more predictable return, but could also mean that the fund grows less.

The glidepath normally begins 15 years before a member’s selected retirement age (SRA). So, if someone plans to retire at 65, we’ll start switching their investments when they’re 50.

Are you a member of The People’s Pension?

How to change your selected retirement age

You can review and change your selected retirement age (SRA) through your Online Account…

 

Log in to your Online Account »

 

But it’s important you know that changing your SRA could affect where your pension savings are invested, by moving them back or forward on the glidepath and into higher or lower-risk investments.


Trying to decide which investment option will suit you best?

How we move pension savings on the glidepath

As a member approaches retirement, we move their pension savings from one fund to the other on the following basis:

Years from SRA Global Investments Fund Pre-Retirement Fund Years from SRA Global Investments Fund Pre-Retirement Fund
-15 93.75% 6.25% -7 43.75% 56.25%
-14 87.50% 12.50% -6 37.50% 62.50%
-13 81.25% 18.75% -5 31.25% 68.75%
-12 75% 25% -4 25% 75%
-11 68.75% 31.25% -3 16.67% 83.33%
-10 62.50% 37.50% -2 8.34% 91.66%
-9 56.25% 43.75% -1 0.00% 100%
-8 50% 50% 0 0.00% 100%

graph showing fund share in the 15-year glidepath

 

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