DC pension/AVC's

[ihatedogs]

Life circumstances meant I took my pension in 2017 at 55 years old.
I then joined the defined benefits scheme in 2018 & in February of this year up my contributions, via AVC,'s, to match RM's 10%.
I'm not sure I quite understand how this scheme works, I can see the total contributions on the Scottish widows site but, until recently, I was unaware of my investment choices.
If left alone, is my money being invested by Scottish widows or is it simply sitting there, building up capital whilst at the same time losing its value due to inflation?
Is there a default investment option when I joined or should I effectively be managing my own pension by choosing my investment options via my online dashboard? Or are the options on there just for the AVC's.
My age means I'll have paid into this for nine years when I retire and, whilst appreciating the tax issues, I'm looking to take the whole pot at 67.
At that point I'll have both my state pension and current RM pension to live on as well as whatever the total of the DB pension amounts to.
Any help is greatly appreciated.

[RobertT]

You're actually paying into a Defined Contribution pension via Scottish Widows!

I think there's 11 fund choices with the DC scheme, plus there's the Default Lifecycle option which invests the money for you. The plan guide says:

Where is my Member Account invested?

When you join the Plan, all contributions are invested in the Default Lifecycle option. You will then have the choice of selecting your own investments through the Do It Yourself option. You can change how your Member Account is invested at any time, through the Plan website or by completing and returning a Changes Form.

How the Default Lifecycle option works

The Lifecycle option makes investing easier because you do not need to make any decisions about where you invest your Member Account. The Default Lifecycle option uses an investment strategy which changes depending on how many years away from retirement you are. It has two aims:

• the first aim is to give your Member Account high potential for growth, and
• the second aim is to protect the value of your Member Account closer to retirement.

Lots more info on the DC scheme, including the plan guide can be found here: https://www.scottishwidows.co.uk/save/royalmaildcplan/" onclick="window.open(this.href);return false;

[ihatedogs]

Thanks Robert, and yes I meant DC, fat fingers and all that. Cheers.