- Get the most from your AVC
- Contribution options
- Your investment choices
- Documents and FAQ
Your investment options
The AVC section investment options
When you first join the plan you will need to choose where your payments are to be invested.
To help make an informed decision, the Trustee has split the options into four categories.
The Centrica Gateway Strategy
What is it?
It's a lifestyle profile, which means that as you get closer to retirement, it will gradually and automatically move your money into funds which aim to prepare your pension savings for retirement.
This option has been chosen by the Trustee with the help of its advisers because it believes it's a good option for most people in the company.
For full details on the Centrica Gateway Strategy please see the:
The Centrica Gateway Strategy could be appropriate if:
- You don’t want to select your own investment options
- You don’t want to worry about moving your investments around as you approach retirement
Centrica self-select funds
The Trustee and its advisers have chosen a range of investment funds they think are appropriate if you don't want to invest in the low-involvement option - the Centrica Gateway Strategy.
When you are selecting how you will invest the contributions made to the Plan, it can be helpful to consider your attitude to different types of investment risk. In particular, the effect of inflation on the value of your savings over time and how the volatility of an investment means that the value of your savings can fluctuate up or down in the short term.
The Trustee and its advisers have set out below some examples of how volatility and inflation risks might impact members. They've also indicated what factors members might consider when choosing their investment funds.
These examples don't cover all possible circumstances but will help you in making your decision. They're also not investment advice. If you’re not sure which funds are right for you, you should get help from a financial adviser.
Any choices you make now aren’t set in stone. You're in control and you can change your investments if you want - so you’re not committing yourself forever.
Things to be aware of
- Before you choose an investment fund, make sure you understand its aims and risks
- As with any investment, the value can go up or down, and may be worth less than the amount that was paid in
- There are investment funds with effective total annual fund charges ranging from 0.30% to 1.41% - you should understand what you are paying extra for by looking at the funds' factsheets - linked from the fund names below. You can also find out more about charges on the what are the charges page
- Remember, the Trustee isn't recommending that these funds are suitable for everyone
- Standard Life is not responsible for the examples shown below
What does it cost?
Standard Life takes a percentage of the money you invest in each fund for administering your Plan and managing your investments.
However, Centrica has negotiated a special deal on your behalf, which means that Standard Life rebate part of this charge by crediting extra units to your fund each month.
The effective total annual fund charge for each fund is shown in the tables above. You can also find further details on the charges in the What are the charges? section.
Things to be aware of
- You should make sure any lifestyle profile you choose matches how you plan to take your retirement income
- As lifestyle profiles make changes to your investments based on your selected retirement date, they may only be suitable if you're planning to start taking your retirement income on this date
- If you choose to invest in the Centrica Gateway Strategy you can combine this with investment in any individual fund that does not form part of the Centrica Gateway Strategy
- Before you choose an investment option, make sure you understand its aims and risks
- As with any investment, the value can go up or down, and may be worth less than what was paid in
As with any investment its value can go down as well as up and may be worth less than what was paid in. lf you need help choosing your investments, you should seek financial advice. There is likely to be a charge for this.
To help you make an informed decision we've provided you with important information that you should read. You should print or save copies of these documents for future reference.
Read this guide for more information on the Additional Voluntary Contribution (AVC) section of the Centrica Savings Plan and the Centrica Pension Plan Savings Section.
Read this guide for more information on the Additional Voluntary Contribution (AVC) section of the Centrica Engineers Savings Plan.
Read this guide for more information on the different ways you can pay into your pension, and the tax benefits and tax charges which can apply.
Please access Mercer OneView via MyPension Hub (Workday - External Benefits) to nominate or update your beneficiaries online.
Read this guide if you are thinking about buying an annuity.
These documents have been provided by the Trustee of the Centrica Savings Plan - Standard Life is not responsible for the content.