Making your own investment choices
You can choose where your pension is invested. However, before you make any changes, there are a number of things you ought to consider.
How much do you understand about investing?
It’s important to understand what investments are and how they work. Your guide to investing provides a useful introduction to the basics. Your guide to how your funds are managed explains the key principles we follow when managing our funds and what happens when an unexpected event occurs.
How do you feel about investment risk?
You need to understand how you feel about risk and be aware of the amount of risk you’re prepared to take, before making any investment decisions.
See ‘Balancing risk and reward’ to find out more.
How much income do you think you’ll need in retirement?
It might seem a long way off, but working out how much you’ll need (or want) in retirement will be an important factor in helping you decide how much to pay in and where to invest it.
Our ‘Retirement Living Standards’ tool helps you understand how much you’ll need to live on in retirement.
Based on the retirement living standards from the Pensions and Lifetime Savings Association (PLSA), it helps you work out what your retirement might cost based on three lifestyles and allows you to tailor your living costs to your own needs.
If you want to learn more about the retirement living standards, visit retirementlivingstandards.org.uk.
When are you planning to take your money?
The amount of time until your selected retirement age could influence the amount of risk you’re prepared to take. For instance, the further away it is, the more risk you might be prepared to accept. Similarly, you may want to take less risk, the closer you are to retirement.
Can you afford for your pension pot to go down in value?
Are you prepared - or able - to accept a fall in the value of your pension savings in return for the possibility of greater returns? Or would you prefer more predictable, although potentially lower, returns?
Where can I find more information about funds?
You can view information about all the funds available to your scheme by logging into Manage Your Account.
For detailed information such as up-to-date fund performance and unit prices, see our Fund Centre.
If your plan has funds created especially for you, you can only view fund factsheets in Manage Your Account.
How often will you review your investment choices?
It’s important to regularly review your pension savings to ensure they remain on track, particularly if your plans or circumstances change, or if markets experience a downturn. You can change your investment choices in Manage Your Account.
Please note Legal & General cannot provide financial advice. If you want help to make your own investment choices, you should speak to a financial adviser. You can find one in your local area at unbiased.co.uk. Financial advisers usually charge a fee for their services, but it will be personal to you and your circumstances.
We can offer you a way of paying your adviser directly from your pension pot, this is called a facilitated adviser charge. The Facilitated adviser charge guide explains how this works.