Investment in equities is undoubtedly an important part of retirement planning. However care must be taken not to rely on them too much says Nick Leitch
According to the June 2007 Lipper Life Office Asset Allocation Analysis report, £121 billion was invested across the 147 funds that report their full holdings in the balanced managed pensions sector. This is a huge amount of money in a hugely popular sector for UK retirement. However, investors in these funds may not be aware that they are placing a heavy reliance on the performance of a single asset class for their retirement nest egg. While "balanced" and "managed" may sound reassuring, the reality is that funds in this sector often have a very high equity concentration. The average equ...
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