Investment choices

BeFrank’s product is simple and offers choices that add value. The employer decides on the general shape that the pension scheme will take for employees, including the extent of investment freedom and what funds can be invested in.

The extent of freedom of investment
The employer decides in consultation with you the extent of the freedom that employees will have in their investment choices. There are three possible options:

• No investment freedom
  Employees save towards their pension within the neutral lifecycle.
• Restricted investment freedom
  Apart from the neutral lifecycle, employees are also free to choose the defensive or the offensive lifecycle. They can do this by answering a number of questions on their personal pension page. The responses determine their risk profile. We advise them to choose the lifecycle that matches their risk profile.
• Extensive investment freedom
  If the employer chooses this option, employees may choose one of the three lifecycles (offensive, neutral, defensive), or they may choose to manage their pension savings themselves.

Actively or passively managed funds
The employer decides whether the investments are actively or passively managed. There is a choice between active or passive management. Active management means that the lifecycles are made up of mixed funds of NN Investment Partners. Passive management means that the lifecycles are made up of index trackers.