UK savers are highly cautious when it comes to their retirement savings, with just 8% willing to invest in high-risk assets, according to PensionBee.
Nearly half (49%) of pension savers expressed a preference for a moderate risk approach, while more than a quarter (26%) favoured a low-risk strategy, preferring to avoid market volatility where possible.
A further 17% adopted an even more cautious approach, wanting no risk at all, even if it meant their pension savings would see minimal growth.
Despite the risk-averse stance, PensionBee said many savers are open to the idea of investing in more complex assets such as private equity or infrastructure if it supports UK economic growth. Almost six in 10 (59%) said they were comfortable with their pension being invested in these types of assets.
However, the majority of this group said they would only support such investments if the associated fees and risks were made completely clear to them. The remaining 41% either wanted their pensions to be invested in simple and transparent assets that they could easily understand or were unsure about their preferences.
When asked about the most important factor in pension investments, more than half (52%) said that maximising long-term returns and ensuring low fees and transparency were the top priorities. In contrast, only 15% prioritised investing in UK PLC, while 14% of respondents placed the highest importance on keeping their pension savings in low-risk investments.
Clare Reilly, chief engagement officer at PensionBee, said: “These findings highlight that UK pension savers want stability and transparency not speculation. The majority are looking for steady, reliable growth, with most favouring a balanced, moderate-risk approach. This demonstrates a clear preference for managing risk without sacrificing long-term returns.”
The survey also highlighted increasing demand for transparency in pension investments, with 84% of those surveyed stating it was important to them to have full visibility over where their pension was invested, compared to just 11% who consider this to be of little importance.
Reilly added: “Savers want the confidence that their pension is growing steadily over time and they demand transparency to ensure they fully understand where and how their money is being invested.”
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