Following recommendations from its investment advisers, Lane Clark & Peacock (LCP), the Trustee of The Pearson Pension Plan (the Plan) has decided to make some changes to the investment options available to Plan members.
What is changing?
The current Blended Global Equity Fund will be replaced with a new, tailored fund specifically designed for the Plan. The new fund will be called the Pearson Plan Bespoke Global Equity Fund. This change will apply to both the lifecycle options and the self-select fund range. The new fund aims to deliver similar returns to its benchmark by investing in a wide range of global shares, including those from emerging markets.
Lower fees
The good news is that the annual fee for this new fund will be slightly lower, 0.25% compared to the current 0.26%.
There will also be a reduction in annual fees for the Blended Multi-Asset Fund from 0.66% to 0.53%.
- Investment choices
How you choose to invest your pension pot in the Plan is an important decision. Your choices can make a real difference to the value of your pension pot and the level of benefits it will provide at retirement. You can choose either a lifecycle option or a combination of one or more of the self-select funds, but not a mix of both.
The lifecycle options
A lifecycle option is an investment selection process, under which contributions are invested in different investment funds at different proportions as you get closer to your chosen retirement age. Each of the Plan’s lifecycle options is tailored to meet different retirement needs, depending on whether you wish your pension pot to provide:
- a flexi-access drawdown facility (by transferring out of the Plan), which allows you to take income from your pension pot whilst it continues to remain invested (the drawdown lifecycle option)
- a pension (also called an annuity) at retirement (the annuity lifecycle option)
- a cash lump sum at retirement (the cash lifecycle option)
The self-select funds
If you prefer to make your own investment choices, you can select your own funds from the list available.
Choosing to self-select your funds gives you full control of your investments. This means that, as well as deciding how to invest your retirement savings, you should check regularly how your investments are performing. You also must decide if, and when, to move your pension pot to different funds as you approach retirement.
- You can invest all your pension pot in one fund or spread your investment across multiple funds. It is up to you. This leaflet gives details of the funds available.
What do I need to do?
If you are:
- invested in one of the lifecycle options and are happy with the changes
- a self-select member invested in the Blended Global Equity Fund and are happy with the changes, or
- are not invested in the Blended Global Equity Fund
then you do not need to take any action.
The changes will happen automatically between 23 September 2025 – 7 October 2025
The MyAviva app and MyWorkplace will be unavailable to members between
23 September and 7 October 2025 whilst Aviva make this change
If you wish to make any changes to your investment selection, then you will need to request this before 19 September 2025. Alternatively, you will be able to update your investment selection after 7 October 2025.
Please request any investment changes through the MyAviva app or MyWorkplace at: workplace.aviva.co.uk/myworkplace.
Once you have logged onto MyWorkplace:
- Go to ‘How your pension is invested’
- Then click ‘Go to membersite’
- Go to ‘Your future contributions’ then click ‘Change’
- You can then choose to change your investment programme, your future fund holdings or your future contributions.
We encourage you to use this opportunity to check that your pension pot is invested in the funds you believe are appropriate for you.
Getting help
We recommend that you take financial advice before making any significant changes to your investments. Neither the Trustee nor members of the pensions team can provide you with advice in relation to your investments within the Plan and they do not accept any responsibility for your investment choices. You should seek independent financial advice as part of your retirement planning. You can find an independent adviser in your area on the MoneyHelper website - This link opens in a new browser window.
You will have to pay for the advice or services that you receive from the adviser.
