NEST and People's Pension - no UK option

taking_stock

I've looked through both NEST and The People's Pension and can't find anywhere the option for a UK tracker or UK investment option.  Am i missing something, surely this should be an option?  The reason for looking is that the Global funds option is obviously very heavily weighted to the US, and particularly to a small number of high cap ones (Mag 7). 

Marcon

taking_stock said:

I've looked through both NEST and The People's Pension and can't find anywhere the option for a UK tracker or UK investment option.  Am i missing something, surely this should be an option?  

Both schemes offer limited investment options and what you're looking for quite simply isn't one of them. If you're looking at opening a pension for yourself, then all you need to do is pick a different provider - clearly not an option (or at least not immediately) if they are your employer's choice of auto-enrolment scheme. There's usually nothing to stop you transferring out of either scheme at some point if you especially want that particular choice of fund. 

Albermarle

 surely this should be an option?  

They limit the range available as in fact the demand is low. Something like 95% of customers never move out of the default fund.

taking_stock

yeah, i guess it's the difficulty of getting (most) people to take an active interest in their own pension savings   

LHW99

Is this likely to change if it is decided that pension schemes should be encouraged to always have a certain proportion of UK listed holdings?

Rich1976

taking_stock said:

yeah, i guess it's the difficulty of getting (most) people to take an active interest in their own pension savings   

Not necessarily. In some instances the default fund could well be better than if they selected their own fund . It helps low knowledge customers avoid making mistakes in selecting something not suitable for their circumstances .