You are here: Home - Retirement - Retirement planning - News -

Pension savers wary of Brexit but average pot has gone up since Referendum

0
Written by:
26/06/2018
An increasing number of millennials think the value of their pension funds will fall because of Brexit.

Almost half (49%) of 18-34 year-olds surveyed by insurer Aegon believe their pension savings will shrink as a result of leaving the EU, up from 34% in October last year.

However, investment growth since the Referendum two years ago has been positive.

Aegon said that £50,000, the amount of the average pension pot, invested in the FTSE 100 two years ago, with dividends reinvested, would have gone up 30% to £65,500.

Overall, 42% of savers think Brexit will have a negative impact on the value of their pension savings.

Steven Cameron, pensions director at Aegon, said: “A high proportion of individuals are drawing a link between Brexit and how their pension fund investments may perform going forward. It’s not surprising that ongoing uncertainty as Brexit negotiations continue means many anticipate a negative impact. However, the reality is that someone who invested in the FTSE 100 just after the Referendum in 2016 would have seen substantial growth in their fund.

“Pensions are particularly long-term investments and those in their 20s, 30s and 40s won’t be turning their pension pot into a retirement income until many years after Brexit is done and dusted. This means most people shouldn’t be overly concerned if there are short to medium term movements in fund values.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

How to get 5% interest without tying up your savings for years

You don't have to lock your money away to get an above-average return on your savings.
How to get 5% interest without tying up your savings for years

Top savings accounts now pay over 4%

Savers can now access interest rates of over 4%, following the Bank of England’s decision to increase the base...
Top savings accounts now pay over 4%

Friday 30 September: Three deadlines you can’t afford to miss

It’s the end of the month today and this date is significant for energy billpayers, anyone with notes lying ar...
Friday 30 September: Three deadlines you can’t afford to miss

Ryanair jetting towards US flights for £10

Ryanair is on course to achieve its long-held ambition of offering transatlantic flights to the US – and the...

Investing in car parks: a good vehicle for income seekers?

As the search for income continues, many investors are turning to alternatives, with car parks becoming increa...

A quick guide to guarantor loans – in association with Guarantor Loan Comparison

Considering a guarantor loan or becoming a guarantor yourself? Read our essential guide...

Results round-up: Companies to watch this week

Mulberry and more will face the music this week.

Product launches of the week

Select Property Group, Schroders, Leeds Building Society and more have exciting news this week.

Money Tips of the Week