Risk & Reward

Whether you’ve been automatically enrolled into the Scheme, or you joined by choice, it’s important to review your investment options regularly.

Why do I need to review my investment options?

Our members join us at all stages of life. You might have recently started working, or you might be starting to make detailed plans for your retirement.

It’s possible that you’ll want slightly different things from your pension at each stage, and that your approach to risk, return and the way you’d like your money to be invested may change.

Every member’s savings are initially invested in one of our target date funds (TDF), which invest your money differently as you get older. This way, your money is more likely to grow in the early years – when you have time for it to go up and down in value - and hold its value as you get closer to taking your pension. This simple, flexible approach makes TDFs a suitable option for many members, but we have a range of alternative investment options that you might want to consider if your approach to risk and return changes at any point.

If you decide that you’d like your savings to grow faster, for example, we have funds that expose your money to slightly higher levels of risk for a potentially higher return. Or, there are ways to invest your pension savings in only ethical funds. You can review your options and tell us if you’d like us to make a change within your Retirement Savings Account.

What's right for you

One of the most important factors when deciding what might be right for you is the level of risk linked with different investment funds.

Investments are all about trying to make the most of your savings and balancing the risk of investments going down with the potential reward of the investments doing well.

Different investment types have different levels of potential risk and reward. Usually, funds with more potential for growth carry more risk.


As personal circumstances change you may find that where your TPT savings are invested may no longer suit you. That’s why it’s a good idea to review the choices you’ve made and check that they’re still right for you.

Investment Risk

Your TPT savings are invested in funds and they all carry a risk. There are different risks and they’re broken down by different categories. The fund factsheets have been created to help you understand a bit more about the different options. Each one will highlight a number of different risks linked to the fund.

Some of the common ones you’ll find in our fund factsheets are:

  • Inflation Risk

    Inflation Risk

  • Market Risk

    Market Risk

  • Interest Rate Risk

    Interest Rate Risk

  • Credit Rate Risk

    Credit Rate Risk

  • Allocation Risk

    Allocation Risk

  • Foreign Risk

    Foreign Risk

  • Exchange rate or Currency Risk

    Exchange rate or Currency Risk

  • Property Risk

    Property Risk

  • Reinsurance Risk

    Reinsurance Risk

  • Derivatives Risk

    Derivatives Risk

  • Emergency markets Risk

    Emergency markets Risk

  • Liquidity Risks

    Liquidity Risks

  • Counterparty Risk

    Counterparty Risk

  • Money Market Risk

    Money Market Risk

Frequently Asked Questions (FAQs)

  • What is a fund factsheet?

    Fund factsheets are detailed documents that provide technical information about the investment funds. Some people find them quite complicated and to help we have provided a summary of what it normally includes:

    • A description of what the fund is and how it works,
    • How it invests your TPT savings pot,
    • Where it invests your TPT savings pot,
    • How well it’s performed over a period of time and also a comparison of its performance to a benchmark, and
    • The risks connected to a fund.

    To help you understand the different investment options available to you, we have created a cover sheet for each fund factsheet which will provide you with an simple overview of the detail provided as part of each fund factsheet.

  • Do I pay any investment charges?

    Charges are automatically included when we calculate how much your savings are worth. So, you won’t see them as a separate cost when you look at the current value of your retirement savings. There are different types of charges, which are included in the value of your retirement savings. Some of the charges are:

    1. An annual management charge (AMC), applied to the value of your account, which covers the costs of running the Scheme. We aim to maintain this annual rate but there is a possibility it could change if the costs of running the Scheme change. Included as part of the AMC is the fund management charge (FMC). This covers the cost of investing your retirement savings. The level of fund management charge depends on which fund(s) you invest in and can vary from time to time. The AMC is confirmed on the  fund factsheet.
    2. The fund’s expenses, which include the costs of the different investments in which it invests. Such as legal costs, audit fees, trading commissions and trust fees. The fund’s expenses are confirmed on the factsheet.
    3. Transaction charges may also be payable, for example broker commission, stamp duty or the cost of buying and selling investments. These charges vary depending on a variety of factors including the amount of money being switched on any one day. These charges are not shown on the factsheet.

    For more information and details of the charges, read the guide to fund factsheets that can be downloaded from here.  


    For personal requests relating to charges deducted from your savings please contact us.

  • What should I consider when making investment choices?

    To help you consider your options you could ask yourself the following questions:

    1. Do I feel uncomfortable making investment decisions?
    2. Am I happy to have investments chosen and managed for me?
    3. Do I find investments confusing and hard to understand?
    4. Am I uncomfortable managing my own investment risk? 
    5. Would I prefer someone else to take responsibility for moving my investments as I approach retirement?
    6. Do I want to keep my money invested when I retire and drawdown from my account as I need it rather than buying a guaranteed income (annuity) when I retire?

    Your answers to these questions will guide you as to whether the Target Date Fund or choosing your own investments will suit you most. If your answers are mainly ‘Yes’ then you are likely to feel happier with the Target Date Fund.

Before making any investment selection, please carefully read the relevant fund factsheet.

The fund factsheets should be used for information only. If you require advice about your personal situation and where you should invest your TPT savings, please seek financial advice.

You can log in at any time to review and make changes to your investment options.

Not registered yet?

If you haven't registered for your Retirement Savings Account yet, click here to find out how you can do it