Lifetime pension plan
Our smart Lifetime plans automatically adjust your investments to maximise early growth before protecting your pot as you approach retirement.
Lifetime plan options
Standard lifetime
Balances returns with risk, reflecting your life stage.
Sustainable lifetime
Invest sustainability, adapting risk to your life stage.
A pension that manages itself
The great thing about our Lifetime plans are their simplicity. Rather than sticking with one investment plan throughout your life, they move the money inside your pension around as you approach retirement.
Your pension will gradually shift from high-growth investments like stocks and shares to ones that will help safeguard your savings when it comes to time to cash your pot in. The best part is that this is managed automatically, first notifying you and then changing investments when the time comes.
The Lifetime plans have one simple all-in fee. You'll only pay an annual fee of 0.75% for savings under £100,000, and 0.4% for any amount over £100,000.
How does it work?
The first part of this plan is all about growing your money and lasts until you reach 60 for the Standard lifetime plan, and 53 for the Sustainable, lifetime plan.
Your pension contributions will be invested in a higher proportion of 'riskier' investments, such as stocks and shares, to maximise your return on investment.
Inevitably, this stage involves more volatility but in the long-term there's more time to 'correct' any drops in the markets. The end result should be that you gain more than you lose.
Next, we adjust your investments to get you ready for retirement.
The Lifetime plans switch to a less risky approach. Your pot is still growing, but your money will start to move away from things like stocks and shares to more stable investments like bonds and government gilts.
It’s a slight change in approach that starts to preserve the value of your savings. You should see far less ups and downs in the value of your pension than before.
Finally, protecting your pot.
It normally isn't wise to immediately withdraw your entire pot for tax reasons - this means some of your money will stay invested in your pension, even after you retire. With that in mind, the final stage of our Lifetime plans try to preserve the value of your pot with safe, less volatile investments.
Of course, part of your pot will remain invested in to make sure you’re still seeing some growth. This also helps protect you from losing value as the cost of living rises with inflation.
In collaboration with BlackRock
We're proud to collaborate with the world's largest investment manager, BlackRock, to protect and grow our customers' pension savings with our Lifetime plans.
Our shared philosophy on the principles of passive investing, diversification and managed risk at a low cost led us to work with BlackRock to offer their MyMap investment options.
Investments are spread across a wide range of BlackRock’s iShares passive tracker funds using advanced technology to balance growth and risk. These funds correspond to a mix of stocks, bonds and alternative assets across the world.
Unleash your pension power
A portion of your pension fund is made up of stocks, which may include a small stake in companies like Apple, Microsoft or Google. Most pension providers don't let you see which companies you're invested in - to us, that doesn’t seem right.
Our view is that you should know where your money is invested. That's why our Explore Your Pension feature gives you complete visibility into your investments - including a breakdown of each individual company you have a stake in.
Explore Your Pension also provides a platform for voting on issues raised at company AGMs. You can also see your vote history, how the majority of Penfold savers voted, and the vote result. Even better, it's completely anonymous.
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