The debate begins…

As Personal Accounts Delivery Authority (Pada) opens up the debate around DC schemes with the public...

As Personal Accounts Delivery Authority (Pada) opens up the debate around DC schemes with the publication of its DP on personal accounts (see left), surely the question is now how should Pada set its strategy for its default investment fund? Typically, 90% of GPP members are invested in a default fund. In a scheme where financial engagement is going to be low, and apathy rules, this figure could be much closer to 95% or 98%. So designing the default fund along the right lines is going to be crucial. This is where Pada faces tough questions. In designing the default fund, Pada realises t...