Your pension savings in the UWP Series 1 fund include a valuable guarantee
Your guarantee will apply, as long as you don’t access your pension savings before the retirement age on your plan.
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If you access your savings early, your guarantee won’t apply
You’ll receive the actual value of your UWP Series 1 savings, based on how the investments have performed.
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The amount you’ll receive is the fair value your plan is worth today
The amount you’ll receive is less than the guaranteed amount available at your retirement age.
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This reduction in value is known as a market value reduction or MVR
The reduction in value also includes your annual management charge and can make a big difference to the amount you’ll receive.
When you reach the retirement age on your plan you’ll benefit from your guarantee
The MVR no longer applies when you reach the retirement age on your plan.
Most customers have ordinary units and so will receive the guaranteed 4% growth a year on this part of their pension savings.
The diagram below shows how your guarantee and MVR work:
