Growth Rates

Pile of purple sweets

In our illustrations for our pension and life products, we use growth rates which are based on the actual funds being invested in. These growth rates are reviewed on a regular basis. All asset classes have been updated to show a 3.0% spread between Low and Mid, and between Mid and High.

It's important to remember that the plan values we show in our illustrations are only a guide and are not guaranteed in any way, and you may get back less than the amount originally invested.

You can find out more details about our asset class growth rates and our fund level growth rates below:

Asset class growth rates

We currently use the following asset class growth rates in our illustrations: 

  Pensions Pensions Pensions  Life  Life   Life 
Asset Class Low Mid High Low Mid High
Cash -2.00%  1.00%  4.00% -2.50% 0.50% 3.50%
Gilts -1.00%  2.00%  5.00% -1.50% 1.50% 4.50%
Corporate Bonds  0.00%  3.00%  6.00% -0.50% 2.50% 5.50%
Index Linked Bonds -1.50%  1.50%  4.50% -2.00% 1.00% 4.00%
Property  2.00%  5.00%  8.00%  1.50% 4.50% 7.50%
UK Equity  2.00%  5.00%  8.00%  1.50% 4.50% 7.50%
Overseas Equity  2.00%  5.00%  8.00%  1.50% 4.50% 7.50%
Absolute Return  0.00%  3.00%  6.00% -0.50% 2.50% 5.50%
Commodities -0.50%  2.50% -0.50%  -1.00% 2.00% 5.00%

Fund level growth rates

We will regularly review the fund level growth rates for each of our investment funds.

You can find out more information about our assumed illustration growth rates in the following documents: