Survey: How are DC schemes adapting to freedom and choice?


Three years into Freedom and Choice, LCP’s defined contribution (DC) scheme survey investigates whether schemes are truly offering flexibility, and if their investment strategies are offering appropriate levels of risk/return throughout the DC savings journey.

Key findings

  • Since Freedom and Choice, 60 per cent of schemes offer three or more lifestyle strategies, allowing members to target different retirement outcomes easily.
  • Many schemes have adapted the target of their default strategy to give flexibility to members.
  • Nearly half of respondents communicate with their members more than once a year and nearly 20 per cent have a segmented communications strategy, which will help those members understand the key messages that are relevant to them.

The paper includes several tips for employers and pension managers to ensure they are continuing to improve their pension scheme for DC savers.