will pension be affected by coronavirus

[fido69r]

I have a deferred section c pension, and considering taking 25% and the pension when I get to 55 in 6 months or so. Will the current situation with the markets affect it's value, or is it protected? ...thanks

[lordthornber]

It certainly isn't "protected"

Pension funds are well spread, to say the least, but certainly aren't immune from huge variations that we're seeing at present.

That said, they have the benefit of years of investment behind them and should be able to ride the storm, but no, definitely not protected.

Once you're taking the pension that's a different matter of course.

[NorthernBoy]

I have a deferred section c pension, and considering taking 25% and the pension when I get to 55 in 6 months or so. Will the current situation with the markets affect it's value, or is it protected? ...thanks

When RM was privatised my understanding was that the government took on the pension liabilities built up at that time, so for that element of your pension you should be fine.

If you have a deferred avc fund with the likes of Zurich, this will fluctuate with the market. As to what happens in the next 6 months is anyone’s guess. Personally, if the value of my avc fund met my retirement plan I would move to a low rusk / cash based fund now to reduce risk.

[renrag40]

I have a deferred section c pension, and considering taking 25% and the pension when I get to 55 in 6 months or so. Will the current situation with the markets affect it's value, or is it protected? ...thanks

When RM was privatised my understanding was that the government took on the pension liabilities built up at that time, so for that element of your pension you should be fine.

If you have a deferred avc fund with the likes of Zurich, this will fluctuate with the market. As to what happens in the next 6 months is anyone’s guess. Personally, if the value of my avc fund met my retirement plan I would move to a low rusk / cash based fund now to reduce risk.

Hi Northern, would that be the Farley’s fund by any chance...... just asking

[stephen500]

It certainly isn't "protected"

Pension funds are well spread, to say the least, but certainly aren't immune from huge variations that we're seeing at present.

That said, they have the benefit of years of investment behind them and should be able to ride the storm, but no, definitely not protected.

Once you're taking the pension that's a different matter of course.

Yes the spread of investments is designed against huge fluctuation and sections B and C are paid based on pensionable pay, not investments. DBCBS i am not sure about, i tbink it is mainly company cash and our contribution, with some investments.

[fido69r]

OK, I'm thinking I'm hearing good vibes here....I had 20 years service in, and it's been deferred for the past 13 years...I was just hoping that it wouldn't have been shot to pieces after all that time. I feel sorry for the new employees...Thanks for your input guys.