Private Pension Solutions

Private Pension

What a private pension can offer you

Most private pension plans today are fund based offering you the possibility of a good return on your investment even in todays low- interest market. Depending on the amount of risk that you would like to take with your investment, the returns have historically been between 3% and 9% after costs, obviously the higher the risk that you are prepared to take the higher the possible returns however there are at least 5 different risk classes to choose from and there is something there for everyone’s risk profile, ranging from the very cautious to the very adventurous. Due to the compound interest private pension scheme should run for a long time and then before it reaches maturity (when the shares are at a high) to change to a very low-risk portfolio strategy.

You can also select between full or part capital payment or lifelong pension when it reaches maturity. It’s possible to draw money from it at any time should you need to do so. You can even cancel the private pension fund scheme before it reaches maturity whereupon you’ll obtain the amount that has been saved up and until then. However, this has tax drawbacks.