Dear Pension Fund Member
The first month of 2018 has passed and we are now looking forward to the rest of the year.
The Board of Trustees are excited to introduce a further refinement of the Fund’s Life stage investment option. As communicated in our previous news snippet – understanding your pension fund benefits (1) we explained how selecting the appropriate investment portfolio can impact your retirement benefits.
Although many of us have not even thought about retirement or the decisions we need to make when we reach that stage, I have to urge all members who are considering retirement in the next 7 years to obtain financial advice and to make sure that they are on the right track to ensure that their retirement strategy is optimised.
The LifeStage investment model now introduces further investment channels aiming to match your investment strategy before retirement to that of the annuity you purchase after retirement. The channels you can select are as follows:
1. A channel for members who will be purchasing a high-equity living annuity. Members will remain invested in the Wealth Creation Portfolio
2. A channel for members who will be taking cash (at the point of retirement). Members will transition into the Money Market Portfolio
3. A channel for members who wish to guarantee their fund credit in the pre-retirement period, and prevent any investment market losses in the portfolio. Members will transition into the Capital Guarantee Portfolio
4. A channel for members who wish to purchase a life, with-profit or inflation-linked annuity. Members will transition into a new portfolio option called the Alexander Forbes Investments Protector Portfolio
Attached, please find the more technical details of the refinement of our LifeStage investment offering.
Kind regards,
Evette