Glidepath is designed for people who want to keep their pension money invested when they retire. Pension regulation changes mean that the option to take Income Drawdown is easier and more people are now looking for flexibility in retirement which is why we have launched the new Glidepath.
However, if you’re planning to buy an annuity, with your pension pot, in the next few years, Glidepath may not be right for you because it’ll have more money invested in shares than our Automatic Fund Selector (AFS). This means greater ups and downs in value. If you want that annuity, it might be best to:
- Turn off AFS/Glidepath and choose your own investments for your pension savings. This would allow you to invest more of your money in a lower risk, more defensive fund between now and when you plan to buy an annuity.
- Move your pension to another provider that offers a lifestyle strategy better suited to your retirement goals
If you’re unsure, over 50 and need advice, please speak to Pension Wise (pensionwise.gov.uk).
Otherwise, please speak with an independent financial adviser (you can find one at unbiased.co.uk.
We’re sorry to say we don’t provide that drawdown option at the moment. If you want to do this, you’ll need to transfer to another provider.
No, not a penny.
- Turn off AFS/Glidepath and choose your own investments until you retire. You could still follow the AFS lifestyle strategy if you wish, but you’ll need to tell us when and how to move your investments – we won’t do that automatically.
- Move your pension to another provider that offers a lifestyle strategy better suited for someone who’s looking to buy an annuity on a certain date
- Take independent financial advice to find out the best option to suit your needs. You can find an advisor at unbiased.co.uk.
We need to know as soon as possible if you do not wish to move to Glidepath. We need time to make sure we process your request before moving your pension in November.
If you miss the deadline, it may not be possible to process your request before your pension moves to Glidepath – though of course, we will try our best.
No problem, you can switch Glidepath on or off any time.
If you switch Glidepath off, you will remain invested in the same funds, but the amount invested in each won’t be rebalanced/ adjusted by us each year. You’ll then need to tell us if you want to make changes to the way your pension pot is invested.