Pension Bond from previous employer.

Hi all
A company i worked for closed a few years back. My pension was 154,000 which is in a bond now. After covit and the drops now its worth 146,000.
As I don't contribute to the pension any more, I am at a loss of what to do. If I go into cash now I am locking in the loss. Sorry age 54. Should I just ride it out as the funds should come back at some stage. Its very hard to pick the correct time to jump into cash and back to equities. My risk level is medium.
I am not worried about my current pension as when the market is down I buy cheep and everything will probably balance out. What are peoples thoughts.
Sorry for long post.

Unless you have a crystal ball or can predict the future, I wouldn't be thinking about trying to guess when to switch between cash and equities. Especially with such a large lump sum.

I have a similar Buy Out bond, with slightly more in it (I'm a little younger than you) that is 100% invested in equities. Unless you plan on retiring in next 5 years or less I wouldn't worry too much, there is every change it will rebound and increase in value over the next 5/10 years.

Blackwexford said:

Hi all
A company i worked for closed a few years back. My pension was 154,000 which is in a bond now. After covit and the drops now its worth 146,000.
As I don't contribute to the pension any more, I am at a loss of what to do. If I go into cash now I am locking in the loss. Sorry age 54. Should I just ride it out as the funds should come back at some stage. Its very hard to pick the correct time to jump into cash and back to equities. My risk level is medium.
I am not worried about my current pension as when the market is down I buy cheep and everything will probably balance out. What are peoples thoughts.
Sorry for long post.

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So don't try to time the market.

Just do nothing. There have been recessions and crashes before and there will be more in the future. If you aren't planning on maturing it for a number of years, just let it do its thing. Time is your friend.


Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)

Cheers guys that's what I was thinking.

Have a look at this thread for more information on a similar subject. https://www.askaboutmoney.com/threa...-while-to-slow-down-losses-on-pension.227315/

Dave Vanian said:

Have a look at this thread for more information on a similar subject. https://www.askaboutmoney.com/threa...-while-to-slow-down-losses-on-pension.227315/

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Thanks Davr

Dave

TRS30 said:

Unless you have a crystal ball or can predict the future, I wouldn't be thinking about trying to guess when to switch between cash and equities. Especially with such a large lump sum.

I have a similar Buy Out bond, with slightly more in it (I'm a little younger than you) that is 100% invested in equities. Unless you plan on retiring in next 5 years or less I wouldn't worry too much, there is every change it will rebound and increase in value over the next 5/10 years.
worry too much, there is every change it will rebound and increase in value over the next 5/10 years.

Click to expand...

Likewise. There will be highs and lows and odds are you won't cash in at the highest but hopefully not at the lowest either.

You’re only “cashing in” 25% anyway…