Pension Savers Look to Employers for Education

Five million Brits believe it is their employer's responsibility to ensure they fully understand the asset allocation of their pension fund

Emma Wall 17 September, 2013 | 2:58PM

Inertia could cost investors their retirement income, yet five million of us abdicate responsibility for asset allocation of our pension fund to our employers. 

A survey by Barings Asset Management revealed that 5.2 million people cited their employer – rather than themselves – as the responsible party when it came to understanding asset allocation. But many workplace pension schemes operate under a series of assumptions that may not be suitable for all scheme members – and smaller companies in particular simply do not have the resources to educate their employees about pension planning.

Employers were not the only go-to for those planning their pension savings however, as financial advisers were favoured by 7.9 million people – a cheering figure considering the initial backlash against advisers following the Retail Distribution Review earlier this year. RDR came into force at the beginning of this year and dictates that advisers now have to charge clients upfront fees for their services instead of being paid commission by the providers of the products they recommended.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

About Author

Emma Wall  is former Senior International Editor for Morningstar

Audience Confirmation


By clicking 'accept' I acknowledge that this website uses cookies and other technologies to tailor my experience and understand how I and other visitors use our site. See 'Cookie Consent' for more detail.

  • Other Morningstar Websites
© Copyright 2020 Morningstar, Inc. All rights reserved.

Terms of Use        Privacy Policy        Cookies