All your pension savings currently invested in the default fund, and any future contributions will be invested in the new default investment, the L&G PMC Target Date Fund.
Each L&G PMC Target Date Fund targets a different five-year date range, so the specific one you move into is dependent on your chosen retirement age.
Following a recent review with an independent investment adviser, we found Target Date Funds (TDFs) are a better choice for most members than the current default investment.
TDFs carefully manage the way your savings are invested for your retirement. They are designed to help your savings grow whilst you are younger. Then as you approach your retirement age, they gradually move your pension savings into investments that are designed to protect them.
TDFs are managed by investment experts and regularly reviewed. They automatically change the mix of investments, so you don’t have to.
Please remember, investments can go down as well as up, and growth is not guaranteed.
If your retirement plans change in the future, you can change your retirement age, along with choosing the target date fund that matches your new retirement date. For more information on this please see our Your guide to target date funds (PDF 1207KB).
We recently wrote to you about this investment change, detail on the dates we plan to move your investments can be found in this communication.
Please note, we monitor market conditions closely and may decide to delay the move by up to 30 days. If the delay is longer than this, we'll contact you to let you know.
Your plan has two charges, a Basic Annual Management Charge (BAMC) and an Additional Fund Annual Management Charge (AFAMC). The (BAMC) covers the costs of running your plan and the funds managed by Legal & General.
The AFAMC was previously called the External Fund Annual Management Charge, which would only apply if you invested in funds that are not managed by L&G. The AFAMC may also apply to certain funds managed by L&G that use more specialist investment approaches and require additional oversight, or in funds that are not managed by L&G.
For example, a charge of 0.15% means that each year you’ll pay £1.50 for every £1,000 you have invested.
You can find out where your pension savings are currently invested, as well as more information about what other funds are available to you, in your online account.
