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MyCompanyPension.co.uk - Helping members of occupational pension schemes to better understand their benefits.
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:: Blog | November 2008 (4 blogs) | Why pensions are anything but risky
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Why pensions are anything but 'risky'
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According to this article, ‘There are growing fears that thousands of savers may have been misled into switching to more expensive or risky pensions.’ Whilst the ‘more expensive’ element may be true, the terminology could have been better, don’t you think?
There is no such thing as a ‘risky pension’. A pension is simply a ‘container’ within which assets are held. These assets can be wide and varied depending upon the type of container chosen. It is the assets themselves that provide the risk element. As long as people refer to pensions as risky, the longer we’ll struggle to convince people that using them as a means to help fund for retirement is a good idea. See:
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Mike Jones, MyCompanyPension.co.uk, 19th November 2008
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