How is coronavirus affecting my pension?
In this short animation we look at the impact the coronavirus is having on your pension, and why it’s important to remember that pensions are long-term investments.
You may have seen the value of your pension drop over the last few weeks and you may be concerned. The coronavirus pandemic is causing fear and uncertainty across the world, and this is having a big impact on global financial markets.
It can be hard to watch large market drops, especially if the value of your savings is falling, but it’s important to remember that pensions are long term investments.
it’s very normal for the value of investments to go up and down.
That’s because it’s not unusual for an economy to go through phases of fluctuation. And over the long run there can be a recession every five to ten years.
Although not guaranteed, history shows us that values generally go up over the longer term, despite these short-term ups and downs.
Making decisions based on what’s happening in the short term can be a risky thing to do. It might be tempting for example to move investments into cash for a while but in doing that, you might miss out on the point when the value goes back up – so you could lose out in the long term.
If you’re thinking about switching investments...
... or thinking about taking money out of your pension, we strongly recommend that you speak to a financial adviser to consider your options before taking any action.
You can find an adviser near you using the free service at unbiased.co.uk
In the meantime, you can feel assured that our investment experts are continuously monitoring the markets, keeping a close eye on your pension investments and making any changes we feel necessary in response to market events.
Coronavirus (COVID-19) update
We know that the coronavirus pandemic is a difficult and uncertain time for everyone. We're doing everything we can to support you and to help you understand how the outbreak might impact you as a Royal London customer.
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We've pulled together lots of useful information to help support you to manage your finances and wellbeing during this challenging time.
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