NEST Higher Risk Fund
NEST Higher Risk Fund is for people who are more confident about taking investment risk in the expectation that their retirement pot will grow faster.
What the fund tries to achieve
This fund is made up of investments expected to have high returns. This means there will be more investment risk.
The fund still aims to avoid sudden shocks by spreading its risks across a number of different companies and types of investment. In the short term these may well go up and down in value, but the goal is to make the retirement pot grow in the long term.
What the fund invests in
NEST Higher Risk Fund invests in assets such as:
- shares issued by companies around the world, including those from companies in emerging economies
- property around the world
- bonds issued by governments and companies in emerging economies
- corporate bonds, including those from high quality and lower risk companies, and from companies carrying higher credit risk but paying higher rates of interest
How the fund tries to grow members’ money
If a member chooses this option we’ll invest their savings in the Higher Risk Fund until they’re 10 years away from the year we expect them to retire.
At this point we’ll automatically move their money to the NEST Retirement Date Fund which matches their planned retirement date. This allows us to reduce the chance of a big fall in the value of their investments just before they retire, when there is little time to make up for it.
If a member wants to stay in the Higher Risk Fund they can do this by changing their NEST retirement date.
Download information on this fund (PDF)