How is a PRSA invested?
There are a few investment options with the PRSA. You can:
- Select the Default Investment Strategy, which means your PRSA will automatically change to a lower-risk portfolio as you get closer to retirement, or
- If you'd prefer, you can make your own investment decisions and choose from the Matrix range of Standard PRSA funds provided by Zurich Life.
Note: If you opt for the Default Investment Strategy your funds will be selected and managed for you for the duration of your policy. If however, you decide you'd like to make your own fund choices further down the line, you can write to
Zurich Life to make a change and they'll arrange it for you.
What is the Default Investment Strategy (ARF and Annuity)?
It's a system that gradually changes your pension fund from a higher to lower-risk portfolio as you approach retirement age, giving you some protection from the impact of a stock market crash before you retire.
Even though it's a lower risk strategy, it's designed to meet the reasonable needs and expectations of a typical investor selecting funds with the most suitable risk and reward profile for you based on the number of years you have until retirement.
If you've quite a few years to go, it's normal to invest in funds with potentially higher risk and returns and move into more stable investments as you get closer to retirement.
If you don't select from the Zurich Matrix range of funds available for a Standard PRSA, you'll be invited to select the Default Investment Strategy for an ARF or an Annuity.
How does the Matrix range of funds work?
You choose the funds you want to invest in. It's worth taking some time to think about how much control and risk you would be comfortable with before you make your fund choices.
What are the fund choices available?
| Choice of Eagle Star Funds, provided by Zurich Life |
|---|
|
What are the funds' risk ratings?
| Return / risk profile | Eagle Star Fund choices |
|---|
Low | |
Moderate | - Cautiously Managed
- Active Fixed Income
|
| Medium | |
| High | - Eurozone Equity
- International Equity
- Dividend Growth
- Dynamic
- Performance
|
| Higher | - 5 Star 5 Global
- 5 Star 5 Europe
- 5 Star 5 Asia Pacific
- 5 Star 5 Americas
|
Warning: These figures are estimates only. They are not a reliable guide to the future performance of this investment. The value of your investment may go down as well as up. Benefits from a PRSA may be affected by changes in currency exchange rates.