Adrian Boulding: Decumulation pathways in the digital age

Duty of care on providers

clock • 6 min read

The FCA wants to tackle the dangers of poor pensions to the non-advised and disengaged by offering investment defaults supported by guidance. How can we extend the concept in the ‘digital first’ age? Adrian Boulding explores the issues

The Financial Conduct Authority (FCA) launched investment pathways last year, to help non-advised customers as they approach the transition from accumulation to decumulation. The theory was to increase engagement in the range of options open to policyholders in the wake of pension freedoms and at the same time address growing numbers who had taken their tax-free cash and left the other three-quarters of the pot held in cash. During the last few weeks, we found out from one major UK self-directed investment platform, Interactive Investor (II), that only 5% of all its customers starting...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Pensions

One year on: Abolished lifetime allowance still throwing up advice queries

One year on: Abolished lifetime allowance still throwing up advice queries

Scheme-specific lump sum queries

Andrew Tully
clock 24 April 2025 • 4 min read
Government to set up small pensions pot consolidator

Government to set up small pensions pot consolidator

Pension Schemes Bill measure will reduce admin costs and boost pots

Jonathan Stapleton
clock 24 April 2025 • 3 min read
Pension engagement only way to cut 'retirement anxiety'

Pension engagement only way to cut 'retirement anxiety'

Verona Kenny says industry has ‘moral duty’ to push engagement

Jenna Brown
clock 23 April 2025 • 3 min read