What is a retirement fund?

A retirement fund is the fund that pension scheme members who are invested in a lifestyle fund are transferred into when they reach their retirement date. Most retirement funds are designed as a short-term holding funds until scheme members decide how they want to take their benefits. They’re not designed for long-term investing as their value may be eroded by inflation over time and they could end up being worth less as a result. You can find out more about the retirement fund you’re invested in by looking at the factsheet for the fund noted on your annual statement or online.

The value of investments can go down as well as up. Investors may get back less than they invest.