Pension funds suffer worst performance in a decade

The average pension fund dropped in value by 10% last year, the worst performance for more than 10 years, according to figures from the WM Company. The second consecutive year of negative returns saw falls in all equity markets, dragging annualised performance down dramatically. Eric Lambert, executive director at the WM Company, said: 'Over the past 10 years, UK pension funds have produced a return of about 11% a year, although over the past five years the return has been 8%.' The last time the average pension fund fell by double digits was in 1990, when losses ran at 11%. Property...