Low-involvement investment options

With these options we make most of the investment decisions, so you don’t have to. Ideal if you don’t want to spend much time managing your investments.

What is a lifestyle/lifestage approach?

There are two types of low-involvement investment options available – lifestage approaches and lifestyle approaches.

In a nutshell, lifestage and lifestyle approaches are pre-determined investment paths on which, at various stages, we’ll automatically move your money between carefully chosen funds. In other words, they’re ways of investing for your retirement without having to be too hands-on in managing your pension plan.

Growth in the early years

Typically, in the early years (normally more than 5 or 10 years before your chosen retirement age) your money is invested in one or more funds that aim to grow your pension pot over the long term.

Focus on your retirement plans in later years

As you get closer to your chosen retirement age, we will automatically and gradually move your money into different types of funds which are designed to prepare your pension pot for how you intend to take your retirement benefits.

Lifestyle investment approach

If you invest in a lifestyle approach, we will automatically move your new pension payments into different types of funds at set dates (as indicated under ‘Here are your low-involvement investment options’ below). Your existing pot of money will be moved into the funds gradually, month by month. We move your existing money, automatically on set dates, so there’s a chance we may move your money at a time that wouldn’t offer you the best returns on your investment.

Lifestage investment approach

Lifestage approaches have a feature called ‘automatic rebalancing’. This is where we automatically adjust how your entire pot of money is split between funds, at regular, set intervals. We do this to make sure you’re not exposed to a different level of investment risk than you wanted to be.We rebalance your funds automatically on set dates, so there’s a chance we may move your money at a time that wouldn’t offer you the best returns on your investment.

You should also bear in mind that fund values can go down as well as up and are not guaranteed - you might get back less than the amount paid in.

Things to consider

  • A lifestage/lifestyle investment approach is a pre-determined investment path on which, at various stages, we’ll automatically move your money between carefully chosen funds. As you get closer to your chosen retirement age – you don’t make any of these investment choices.
  • We will automatically move your money/rebalance your fund on set dates, regardless of market performance and economic conditions at that time. As a result, it may not move at a time that gives you the best return on your investment.
  • These investment approaches work based on the age you’ve told us you want to retire at. If you decide to take your retirement benefits from your pension pot earlier or later than your chosen retirement age, it may be worth reviewing how your money is invested.
  • If you intend to change the way you take your retirement benefits or how you invest your money, we recommend you speak to a financial adviser to go over your investment choices.
  • If you’re close to your chosen retirement age, there may be less chance for investment growth because you have less time to invest.
  • Because we invest your money for growth in the early years, and aim to prepare for your retirement in later years, you could receive a lower return from the funds we move your money into than from the funds you were previously invested in. There’s also a greater possibility that the investment returns on the funds we move your money to may not cover your charges.
  • Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.
  • Whether a lifestage/lifestyle investment approach is right for you will depend on your individual circumstances, so we recommend you speak to a financial adviser.

Please make sure you read the essential guide to your company pension scheme alongside this page to understand how your pension plan works and the options available to you.

If you're choosing a new investment option, make sure it's suitable for your circumstances and the level of risk you're comfortable with.

Your money might be invested in a default investment option when you first join the scheme, and your employer might also offer other investment options specific to their scheme. For details of what these investment approaches are, check the information they've given you about their scheme.

Nothing on this site is personalised advice or a recommendation. If you need a personalised recommendation based on your personal circumstances, you should seek financial advice. Your employer may have lined up a financial adviser that you can speak to. Alternatively, you can visit unbiased.co.uk to find an adviser in your area. An adviser may charge a fee for this service.

Here are your low-involvement investment options:

If you’re choosing an investment option, make sure it’s suitable for your circumstances and level of risk you’re comfortable with.

Future Focus 1 Drawdown Lifestage Approach

Objectives

This approach aims to minimise large fluctuations in the value of your pension pot, but the potential for growth may be limited. It is designed to prepare your pension pot for flexible access at your chosen retirement age:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown) or
  • leaving your money where it is and making your choices later

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestage approach), however this lifestage investment approach has been designed to prepare for the particular retirement options shown above.

This approach is not designed to prepare for:

  • withdrawing all the money in your pension pot
  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

How it works

It invests in a low to medium risk fund (Aviva Diversified Assets Fund I) and then at 3 years from your chosen retirement age, we gradually move some money into the low risk Aviva Deposit fund which aims to protect a small portion of your pension pot that can be taken tax free.

The exact fund split when you start investing depends on how far from your chosen retirement age you are at that time. The diagram below shows how we’ll split your investment between funds as you head towards your chosen retirement age.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Future Focus 2 Drawdown Lifestage Approach

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate. It is designed to prepare your pension pot for flexible access at your chosen retirement age:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown) or
  • leaving your money where it is and making your choices later

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestage approach), however this lifestage investment approach has been designed to prepare for the particular retirement options shown above.

This approach is not designed to prepare for:

  • withdrawing all the money in your pension pot
  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

How it works

In the early years (up to 10 years before your chosen retirement age), the approach invests in a medium risk fund (Aviva Diversified Assets Fund II), which aims to provide growth.

From 10 years to your chosen retirement age, your money gradually moves into a low to medium risk fund (Aviva Diversified Assets Fund I), which aims to help minimise fluctuations in the value of your pension pot. From 3 years to your chosen retirement age, some of your money is gradually moved into the low risk Aviva Deposit fund which aims to help protect a small portion of your pension pot that can be taken tax free.

The exact fund split when you start investing depends on how far from your chosen retirement age you are at that time. The diagram below shows how we’ll split your investment between funds as you head towards your chosen retirement age.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Future Focus 2 Annuity Lifestage Approach

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate. It is designed to prepare your pension pot for:

  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

Please note: At your chosen retirement age you will have a number of retirement options (even if you remain invested in this lifestage approach), however this lifestage investment approach has been designed to prepare for the particular retirement option shown above.

This approach is not designed to prepare for:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown)
  • withdrawing all the money in your pension pot or
  • leaving your money where it is and making your choices later

How it works

In the early years (up to 10 years before your chosen retirement age), the approach invests in a medium risk fund (Aviva Diversified Assets Fund II), which aims to provide growth.

From 10 years to your chosen retirement age, your money gradually moves to a different type of fund (Aviva BlackRock Aquila Over 15 years Corporate Bond Index Tracker, medium risk) which aims to help protect the level of income you could get when you reach your chosen retirement age. From 3 years to your chosen retirement age, some of your money is gradually moved into the low risk Aviva Deposit fund which aims to help protect a small portion of your pension pot that can be taken tax free.

The exact fund split when you start investing depends on how far from your chosen retirement age you are at that time. The diagram below shows how we’ll split your investment between funds as you head towards your chosen retirement age.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Future Focus 2 Lump Sum Lifestage Approach

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate. It is designed to prepare your pension pot for:

  • withdrawing all the money in your pension pot at your chosen retirement age

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestage approach), however this lifestage investment approach has been designed to prepare for the particular retirement option shown above.

This approach is not designed to prepare for:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown)
  • buying an income for your lifetime (known as an annuity)
  • leaving your money where it is and making your choices later

How it works

In the early years (up to 10 years before your chosen retirement age), the approach invests in a medium risk fund (Aviva Diversified Assets Fund II), which aims to provide growth.

From 10 years to your chosen retirement age, your money gradually moves into a low to medium risk fund (Aviva Diversified Assets Fund I) and from 4 years to your chosen retirement age all your money is gradually moved into the low risk Aviva Deposit fund. We do this to help protect the value of your pension pot. There is still a chance that the value of your pension pot could fall and that investment returns may not cover your charges or keep up with the rate of inflation.

The exact fund split when you start investing depends on how far from your chosen retirement age you are at that time. The diagram below shows how we’ll split your investment between funds as you head towards your chosen retirement age.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Future Focus 3 Drawdown Lifestage Approach

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate significantly. It is designed to prepare your pension pot for flexible access at your chosen retirement age:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown) or
  • leaving your money where it is and making your choices later

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestage approach), however this lifestage investment approach has been designed to prepare for the particular retirement options shown above.

This approach is not designed for:

  • withdrawing all the money in your pension pot
  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

How it works

In the early years (up to 10 years before your chosen retirement age), the approach invests in a medium risk fund (Aviva Diversified Assets Fund III), which aims to provide growth.

From 10 years to your chosen retirement age, your money gradually moves into a low to medium risk fund (Aviva Diversified Assets Fund I), which aims to help minimise fluctuations in the value of your pension pot. From 3 years to your chosen retirement age, some of your money is gradually moved into the low risk Aviva Deposit fund which aims to help protect a small portion of your pension pot that can be taken tax free.

The exact fund split when you start investing depends on how far from your chosen retirement age you are at that time. The diagram below shows how we’ll split your investment between funds as you head towards your chosen retirement age.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Mixed investments lifestyle approach

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate. It is designed to prepare your pension pot for:

  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestyle approach), however this lifestyle investment approach has been designed to prepare for the particular retirement option shown above.

This approach is not designed to prepare for:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown)
  • withdrawing all the money in your pension pot or
  • leaving your money where it is and making your choices later

How it works

Stage 1

In the early years (up to 10 years before your chosen retirement age), the approach invests in a medium risk fund (the Aviva Mixed Investment (40-85% Shares)), which aims to provide growth.

Stage 2

Ten years from your chosen retirement age, we’ll invest any new payments into a medium -low risk fund (the Aviva Mixed Investment (0-35% Shares)). We do this to help lower the risk to your pension pot. During this time, we’ll also gradually move your existing investment across month-by-month.

Stage 3

At 5 years from your chosen retirement age, we’ll place 75% of your new payments into a different type of fund (Aviva Long Gilt) which aims to help protect the level of income you could get when you reach your chosen retirement age, and 25% of your new payments into the low risk Aviva Deposit fund, which aims to help protect a small portion of your pension pot that can be taken tax free. We’ll also gradually move your existing investment across to these two funds. So a month before you retire, 75% of your total pension pot will be invested in the Aviva Long Gilt fund, and 25% in the Deposit fund.

Exactly how your money is split between funds when you start investing depends on how far from your chosen retirement age you are at the time. The diagram below shows how we’ll split your investment between funds as you head towards retirement.

  Stage 1
at the start
Stage 2
10 years before retirement
Stage 3
5 years before retirement
New payment Aviva Mixed Investment (40-85% Shares) Fund Aviva Mixed Investment (0-35% Shares) Fund 75% into Aviva Long Gilt Fund
25% into Aviva Deposit Fund
Existing investment N/A Moved monthly into this fund Moved monthly at the same percentages into each fund

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Global shares lifestyle approach

Objectives

Over the long term, this approach gives you the potential for growth, although the value of your pension pot may fluctuate significantly. It is designed to prepare your pension pot for:

  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestyle approach), however this lifestyle investment approach has been designed to prepare for the particular retirement option shown above.

This approach is not designed to prepare for:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown)
  • withdrawing all the money in your pension pot or
  • leaving your money where it is and making your choices later

How it works

Stage 1

In the early years (up to 10 years before your chosen retirement age), the approach invests in two medium-high risk funds (70% in the Aviva UK Equity and 30% in the Aviva Global Equity). We do this to give you the potential for growth.

Stage 2

10 years from your chosen retirement age, we’ll invest any new payments into a medium risk fund (the Aviva Mixed Investment (40-85% Shares)) and this will continue for the next five years. During this time, we’ll also gradually move your existing investment across month-by-month. We do this to help lower the risk to your pension pot.

Stage 3

At 5 years from your chosen retirement age, we’ll place 75% of your new payments into a different type of fund (Aviva Long Gilt) which aims to help protect the level of income you could get when you reach your chosen retirement age, and 25% of your new payments into the low risk Aviva Deposit fund, which aims to help protect a small portion of your pension pot that can be taken tax free. We’ll also gradually move your existing investment across into these two funds. So a month before you retire, 75% of your total pension pot will be invested in the Aviva Long Gilt fund, and 25% in the Aviva Deposit fund.

The diagram below shows how we’ll split your investment between funds as you head towards retirement. Exactly how your money is split between funds when you start investing depends on how far from your chosen retirement age you are at the time.

  Stage 1
at the start
Stage 2
10 years before retirement
Stage 3
5 years before retirement
New payment 70% into Aviva UK Equity Fund
30% into Aviva Global Equity Fund
Aviva Mixed Investment (40-85% Shares) Fund 75% into Aviva Long Gilt Fund
25% into Aviva Deposit Fund
Existing investment N/A Moved monthly into this fund Moved monthly at the same percentages into each fund

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed - you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Stakeholder mixed investments lifestyle (available for members of the Company Stakeholder Pension only)

Objectives

This approach aims to provide growth in the early years, although the value of your pension pot could fluctuate. It is designed to prepare your pension pot for:

  • buying an income for your lifetime (known as an annuity) at your chosen retirement age

Please note: At your chosen retirement age you will have a number of retirement options, (even if you remain invested in this lifestyle approach), however this lifestyle investment approach has been designed to prepare for the particular retirement option shown above.

This approach is not designed to prepare for:

  • taking some of the money as and when you need it, either as cash sums or as flexible income (known as drawdown)
  • withdrawing all the money in your pension pot or
  • leaving your money where it is and making your choices later

How it works

This investment approach goes through up to two stages, depending on how long you have left before your chosen retirement age when you start using it. As you get closer to retirement, we’ll automatically move your money into different funds. We do this to help protect the level of income you could get when you retire.

Stage 1

To begin with, we invest all your payments into the Mixed Investment (40-85% Shares) Fund. This will continue until five years before your chosen retirement age.

Stage 2

When you’re five years from your chosen retirement age, we’ll continue to invest all new payments into the Aviva Mixed Investment (40-85% Shares) Fund at first. We’ll also gradually start moving your money (including these new payments, once invested) across to the Aviva Long Gilt Fund and the Aviva Deposit Fund on a monthly basis. By the time you get to a month before your chosen retirement age, 75% of your pension pot will be invested in the Aviva Long Gilt Fund, with the remaining 25% in the Aviva Deposit Fund.

If there’s less than five years until your chosen retirement age when you start using the approach:

In this situation, your new payments won’t be invested in the Aviva Mixed Investment (40-85% Shares) Fund. Instead, 75% of your money will be invested straight into the Aviva Long Gilt Fund, with the remaining 25% going into the Aviva Deposit Fund.

Stage 1
at the start
Stage 2
Five years before your chosen retirement date (if you have been using this approach prior to this time)
All payments
Invested in the Aviva Mixed Investment (40-85% Shares) Fund.
All new payments*
Initially invested in the Aviva Mixed Investment (40-85% Shares) Fund.
Then moved monthly into the Aviva Long Gilt Fund and Aviva Deposit Fund.

The rest of your pension pot
Moved monthly into the Aviva Long Gilt Fund and Aviva Deposit Fund.

*If there’s less than five years until your chosen retirement age when you start using the approach, your new payments will be invested straight into the Aviva Long Gilt Fund and Aviva Deposit Fund. They won’t be invested in the Aviva Mixed Investment (40-85% Shares) Fund.

Please remember, the value of your pension pot can go down as well as up, and is not guaranteed. This means you might get back less than the amount paid in.

You can find full information about the funds used in this approach at www.aviva.co.uk/pensionfund-info

Want to change your investment choice?

Changing your investment choice is easy. There are two ways you can do it:

Online: register or log in to Pension Tracker

By phone: call our group pension helpdesk on 0800 145 5744 (Monday to Friday, 9am to 5pm).

WC03111 11/2015