We have noticed a common feature on many workplace pensions commonly referred to as ‘lifestyling’, but different names are sometimes used.

Lifestyling is an investment strategy chosen as the default option by many employers, the strategy gradually reduces the level of growth assets in the portfolio as people get closer to their normal retirement age.

Lifestyle strategies attempt to be ‘broadly suitable for everyone’, however from our experience they are rarely suitable for anyone.

You wouldn’t let your boss choose the home that you live in, so why do people let them choose the investment strategy for their pension? The asset which could largely determine their future lifestyle?

The good news is that the vast majority of these Pensions have other investment options available, however, probably due to inertia, many people end up never reviewing the investments or reviewing them too late when some damage may have already been done.

Many of these schemes also allow the funds to be transferred to an alternative provider where a wider range of investments and options may be available.

We believe that your investments should be tailored for you based around your personal goals and objectives.

This article is for retail clients and is provided for information and educational purpose only and does not constitute advice.

The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.

Best Life Financial Planning Ltd is an appointed representative of Best Practice IFA Group Limited which is authorised and regulated by the Financial Conduct Authority.