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Failure to Understand Pension Options could be Detrimental to Future Finances
Mark Grimes, Product Director of EValue comments “We are seeing a growing trend in consumers taking advantage of the pension freedoms. Our research has shown that men in particular value the flexibility that comes with these freedoms, with 51% favouring flexible pension options over a guaranteed retirement income, compared to 45% of women. Whilst engagement with the wider range of options is high, it is important that pensions decisions aren’t made off the cuff. Failure to understand all options available could be detrimental to people’s future finances.
“Technology holds the key for greater engagement with pensions, democratising information through tools, such as robo advice, to ensure that everyone is aware of, and understands, their options. Through this, personal financial management can become second nature, allowing people to make better financial decisions and maximise their retirement funds.”
Graph showing gender split in pension preferences
This chart compares the choices men and women are making and if these choices correlate to the movements of the FTSE 100.
Breakdown: 76% of users assessing their options through Pensions Freedom Planner are male. FTSE 100 data based on opening day trading on the first day of each quarter since pensions freedom introduction.
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