Aegon Master Trust Fund Range

Debs6829

Hi there, I have received a letter from Aegon regarding a pension plan that I took out as an employee of Sun Life of Canada in 2015. The pension is no longer contributed to as I now have a different employer.

The letter advises that there is a new Aegon Master Trust fund range - and action needs to be taken. 17 funds that were in the previous range are no longer available and as I'm invested in one or more of these funds I need to choose a new range. I now have a list of 28 funds to proportion my pension over. I have no idea what to look for or what I am doing. There are various equity trackers and bond trackers and life paths. What would happen if I did nothing? 

Sitting here with not a clue what to do.

Any pointers would be appreciated.

FIREDreamer

Debs6829 said:

Hi there, I have received a letter from Aegon regarding a pension plan that I took out as an employee of Sun Life of Canada in 2015. The pension is no longer contributed to as I now have a different employer.

The letter advises that there is a new Aegon Master Trust fund range - and action needs to be taken. 17 funds that were in the previous range are no longer available and as I'm invested in one or more of these funds I need to choose a new range. I now have a list of 28 funds to proportion my pension over. I have no idea what to look for or what I am doing. There are various equity trackers and bond trackers and life paths. What would happen if I did nothing? 

Sitting here with not a clue what to do.

Any pointers would be appreciated.

Would it be worth considering transferring to your existing employer’s scheme?

greatkingrat

Do you know what fund you are currently invested in?

gm0

If you do know what fund you are invested in - look at the fact sheet or sheets for those.  Scheme website or look them up online on trustnet/morninstar or Fidelity or HL - if there are exact or similar "retail" versions.

Is it global equities,  a mixed equities and bond fund.  Developed Markets.  Emerging markets.
Is there a bond fund.  Or a multi-asset (mixture fund)

If you *want* to be invested in those same things from now on and still in those proportions then you can look at the proferred Aegon fact sheets and pick the funds which are closest to that and create a very similar mix.  So new resembles old.

And if you don't know that you want that - then I am afraid you first need to work out what you *do* want to invest in.  This may be a useful prompt - if time allows - for some thinking about that.

Most people invest pensions in riskier growth assets (bigger % equities) while younger and derisk somewhat towards retirement.  And a few are very loss averse and don't do that so much.  No answer for all. 

The reason that is so is that younger people still saving can afford to take a decades long perspective on investing as they have that long before touching the money at retirement.  Whizzing up and down is what investments do short term.  Over 20 years or 30 years the long term trends reveal themselves.

So the logic goes:

1 Investment horizon (from age and retirement plan - how long to go ?

2 How risky do you like it ?
3 A proposed asset allocation (may be what you already have - maybe not)
4 Fund selection from new range to implement 3

You already have this pension invested.  Step 0 is to find out what it is invested in and work out if you like that or not.

You can of course consolidate pensions towards a current employer scheme (if it allows).  And have fewer to be concerned about.  But the questions still apply.  Is it right for you and your plans.  At some point you will either need to learn a little about it and make some decisions or seek out professional advice and help (at a cost) if the fund sizes support doing that and it is your chosen approach to pay vs learn.

Debs6829

Thanks for the answers and advice. I'm going to dig it out and go over it again.