Pension Performance

VinceAshbySmith

Hi all, I'm after some thoughts. I was auto enrolled into our company pension scheme, who is with Standard Life. The Standard Life Sustainable Multi Asset fund was automatically selected, and I'm 100% invested in this. However, I've been somewhat disappointed in the growth achieved to date. Whilst I appreciate the markets have been somewhat volatile, when you compare to other multi asset funds, they have performed significantly better.

The Standard Life Sustainable Multi Asset fund has returned 12.52% cumulative growth over 5 years.
However, as an initial comparison the 

SL BNY Mellon Multi-Asset Growth Pension Fund has returned 39.99% cumulative growth over 5 years.

Which makes me wonder if I should be looking at partially or completely switching the funds i'm invested in? As background i'm 37 and this is my main pension pot, but I also have a stocks and shares isa and a lisa which are invested in Vanguard life strategy funds.

dunstonh

However, I've been somewhat disappointed in the growth achieved to date. Whilst I appreciate the markets have been somewhat volatile, when you compare to other multi asset funds, they have performed significantly better.

Are you comparing multi-asset funds with the a similar equity/bond ratio?
i.e. there is no point comparing an multi-asset fund with 80% equity with one that has 40% equity.

Also, you are in a sustainable fund.  So, you expect a little underperformance relative to conventional investment strategies of a similar equity ratio.

The Standard Life Sustainable Multi Asset fund has returned 12.52% cumulative growth over 5 years.
However, as an initial comparison the 
SL BNY Mellon Multi-Asset Growth Pension Fund has returned 39.99% cumulative growth over 5 years.

That's a bit like comparing a Ferrari with a Fiat.  

These funds are very different risk profiles and asset makeup.

Which makes me wonder if I should be looking at partially or completely switching the funds i'm invested in?

Possibly.  Possibly not.  18 months performance over an economic cycle (approx 15 years) is no guide to anything.

Can you handle the losses that the BNY fund will have when equities suffer a major fall (think double what your existing fund fell during 2022)?

Timescale suggests a move up the risk scale but that always has to be tempered by bad investment behaviour by a low knowledge investor.  i.e. if you are prone to be put off or make bad decisions following a negative period.

 I also have a stocks and shares isa and a lisa which are invested in Vanguard life strategy funds.

The existing SL fund has outperformed two of the four VLS funds over the last two years despite being lower risk than all of them

Albermarle

but I also have a stocks and shares isa and a lisa which are invested in Vanguard life strategy funds.

You would maybe get a better comparison if you compared the SL fund with the nearest VLS equivalent,