The People’s Pension is starting an important new journey to enhance your savings. Later in 2025, we’ll begin investing in private markets, aiming to allocate up to 10 per cent of growth pool assets–or £4 billion–by 2030.
These investments, in areas like infrastructure and real estate, are expected to deliver strong, stable returns for members.
While these investments may have some secondary benefits for the UK economy, our primary focus remains on securing the best possible outcomes for your financial future.
Q: What are private markets?
Private markets involve investments that aren’t traded on public stock exchanges. Instead, they focus on long-term projects and assets like:
- Infrastructure
- Real estate
These types of assets can offer steady, long-term returns while diversifying your pension investments.
Q: Why is The People’s Pension investing in private markets now?
With £32bn in assets under management, we’ve reached the scale required to access private markets in the right way—ensuring that these investments meet the Trustee’s rigorous standards for quality and value.
Our focus is on delivering dependable, long-term returns for members like you.
Q: What do you currently invest in?
Your pension is already invested in a mix of global shares and bonds. Currently, 14% of members’ savings are allocated to UK-based assets through our growth-stage default fund, you can find out more about our investments approach.
Private markets will expand these options, giving us more opportunities to deliver strong returns.
Q: What will you invest in within private markets?
We are initially targeting infrastructure and real estate projects. However, all investments will depend on whether they meet our return requirements and represent good value for our members.
Q: When will this happen?
We plan to start investing in private markets sometime in 2025. Deploying funds will take time, that is why we have targeted £4bn by 2030.
This careful approach ensures we identify high-quality assets that align with your best interests.
Q: Will these investments increase the risk to my pension?
Private market investments will be part of a diversified portfolio, selected to balance risk and reward. This ensures we continue to safeguard your savings while aiming for strong returns.
Q: How does this benefit the UK economy?
While the primary goal of these investments is to grow your savings, some projects may also support the UK economy by creating jobs and developing infrastructure.
Q: Are these investments socially responsible?
We prioritise environmental, social, and governance (ESG) factors in all our investment decisions, ensuring they align with our commitment to responsible investing.
Q: Can I opt out of these private market investments?
If you prefer a different approach, we offer self-select fund options that let you tailor your pension investments based on your personal preferences.
Q: How will I know how my pension is performing?
We’re committed to transparency. Regular updates on the performance of all our investments, including private markets, will be shared through annual statements and our website.
This is an exciting new chapter for The People’s Pension. By carefully expanding into private markets, we aim to provide even greater value for our members, ensuring your pension grows in a way that works for you.
Investment funds
Learn about our investment funds.
Investment options
Find out about the investment options available to you.
Responsible investment
Learn how we invest your money responsibly.