Wait... pensions are invested?

Feb 13, 2024

invested pensions

This comes as a surprise to most people, so we just wanted to help clear up the investment aspect of pensions 📊…

Most pensions are a pot of cash that you’re saving for retirement.
Ideally, you want this cash to grow over time 📈, so that when you retire you can take out more than you put in.
Therefore, the cash in pensions is invested. It can be invested in stocks and shares, funds, cash, bonds etc. Without knowing it, you probably own shares in Apple 🖥, or Tesla 🔋.
If you have moved your pension into your new pension plan, then HSBC will begin managing your cash, and investing it with the goal of long-term growth.

Long term investing can be pretty darn exciting. For example, if you have £10,000 in your pension and it grows 5% every year, then in 30 years time it will have grown to £44,677.44 💷

Hopefully this tiny post helps demystify what’s happening to your pension cash!

Please note: The compound calculation in this post ignores the effects of fees and inflation. As with all pensions, your capital is at risk, and you could get back less than you put in.