Martin Lewis explains benefits of workplace pension
Finance giant Legal & General is to divert billions of pounds from British workplace pensions into a new fund linked to private equity and infrastructure investments that could dramatically boost returns.
The company said it would “unlock private market access” for 5.2 million members of modern defined-contribution schemes.
L&G, which operates workplace pension schemes for employers including Tesco and NatWest, said its new fund would feed savers’ cash into private equity, private debt and infrastructure.
The new fund will have a substantial bias towards the UK, with an aim of placing 30-35 percent of employees’ savings in British assets.
This is much higher than the typical 4 percent seen in typical share portfolios and could provide vital cash investment needed to boost UK economic growth.
The new fund will have a substantial bias towards the UK (Image: Getty)
Both the Conservative and Labour parties have announced plans to try to divert more pensionfund money …