Investment Pathway 3

I plan to start taking my money as a long-term income within the next 5 years

Investment Pathways have been introduced by the Financial Conduct Authority (FCA). The idea is to give you access to simple, good-value investments which broadly match your plans for your pension.

By choosing Investment Pathway 3, you can invest your pot in an AJ Bell fund designed for people who plan to start taking their money as a long-term income within the next 5 years. This fund is built and managed for you by the specialist team at AJ Bell Investments. How much income you take and when is up to you, but keep in mind that taking too much too soon may mean you run out of money in the future.

Choosing an Investment Pathway is completely optional. If you prefer, you can pick your own investments, or simply leave your drawdown pot invested where it is now. Similarly, you could choose an Investment Pathway for some of your pot, then invest the rest elsewhere. Whichever option you go for, remember that it’s important to regularly review how your pension is invested, particularly if your retirement goals change.

Learn more about Investment Pathways, or read our FAQs.

Important information: By providing an AJ Bell fund for your chosen Investment Pathway, we aren't giving you personal advice. Before you invest, you need to make sure that you understand all the risks and are comfortable this investment is right for you. To understand the full picture, please also read the fund's factsheet and KIID. The value of investments can change, and you could lose money as well as make it.

Remember that other providers offer Investment Pathway funds, and it’s a good idea to shop around before you continue. Money and Pension Service have a useful drawdown comparator which you can view at moneyhelper.org.uk.