New retirement fund regulations effective this week should help you retire better, even if you opt out of the default strategies that funds will soon be obliged to put in place. Your retirement fund will be obliged to introduce at least one default investment portfolio, preserve your savings in an employer-sponsored fund by default when you resign from an employer, and provide default annuities or monthly pensions when you retire from the fund. Benchmarks The aim of the regulations is to nudge members into options that will ensure a better pension in retirement, which is a good thing, says Rowan Burger, head of alternative investments at Momentum Employee Benefits. Although you will still have the right to withdraw your savings from an employer-sponsored fund if you resign, the regulations are designed to encourage you to preserve your retirement savings. Failure to do this is a core reason why members don't have a comfortable income in retirement, Burger says. John Anderson, group ...
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