Vodafone pensions

Lifestyle Options

Investment options from May 2015

The Plan offers a wide range of investment options designed to suit all types of investors.

You can take advantage of one of the three Lifestyle options, which automatically change where your account is invested as you approach retirement.

The three Lifestyle options are identical until four years before your Target Retirement Age, following which each Lifestyle option provides a different investment mix.

Your Target Retirement Age is usually your normal retirement age from the scheme. This is usually either 60 or 65, unless you have chosen a different age. Go to the My Account page and login to your account for more information.

The Cash Lifestyle option assumes that you may want to take your pension as cash at retirement.

If you choose the Cash Lifestyle option, your account will be invested in the Melody Fund until 20 years before your Target Retirement Age, after which your account will gradually switch from the Melody Fund to the Harmony Fund over a 10 year period. Your account will be switched from the Harmony Fund into the Cash Fund 4 years before your Target Retirement Age, so that by the time you reach your Target Retirement Age, your account will be invested 100% in the Cash Fund.

The Drawdown Lifestyle option assumes that you may want to access your pension flexibly via income drawdown.

If you choose the Drawdown Lifestyle option your account will be invested in the Melody Fund until 20 years before your Target Retirement Age, after which your account will be gradually switched from the Melody Fund to the Harmony Fund over a 10 year period. Your account will be switched from the Harmony Fund into the Cash Fund 4 years before your Target Retirement Age, so that by the time you reach your Target Retirement Age, your account will be invested 70% in the Harmony Fund and 30% in the Cash Fund.

The Annuity Lifestyle option assumes that you may want to use your pension to buy an annuity at retirement, paying you a fixed amount each month.

If you choose the Annuity Lifestyle option, your account will be invested in the Melody Fund until 20 years before your Target Retirement Age, after which your account will be gradually switched from the Melody Fund to the Harmony Fund over a 10 year period. Your account will be switched from the Harmony Fund into the Pre-Retirement Fund and Cash Fund 4 years before your Target Retirement Age, so that by the time you reach your Target Retirement Age, your account will be invested 75% in the Pre-Retirement Fund and 25% in the Cash Fund.

See Investment Documents for details of the investment mix of each fund.