New Ireland Retirement Fund (IRIS) 2021

Retirement Fund 2021 (3) is part of the IRIS lifestyle investment strategy and invests across equities, fixed income, property, cash and multi-asset holdings. As retirement approaches, the fund gradually shifts money from a higher-risk strategy into a medium/low-risk strategy. This is designed to help grow and safeguard pension savings for investors nearing their expected retirement year.

Retirement Fund 2021 (3) is aimed primarily at pension investors who expect to take a retirement lump sum and invest in an Approved Retirement Fund (ARF) at retirement. It is designed for people who want their pension pot managed according to their expected retirement year. The fund is intended for medium to long-term investing, typically at least 5-7 years.

Retirement Fund 2021 (3) follows a glide path that reduces risk over time. In the earlier years, it uses a higher-risk investment strategy, then gradually moves toward a medium/low-risk strategy as retirement gets closer. This helps match the fund’s risk level to the investor’s time left until retirement.

Retirement Fund 2021 (3) is exposed to sustainability risks, currency exchange rates and short-term volatility. Currency exchange rate risk means that changes in the value of one currency versus another can affect returns when the fund invests internationally. Because the fund invests in equities and property as well as other assets, it can be more affected by severe sustainability events than a fund with less exposure to those areas.

Retirement Fund 2021 (3) has exposure to a broad range of equity regions, including the U.K., North America, Europe, Japan, the Pacific Basin, emerging markets and other equities. This regional spread is part of the fund’s diversified approach within the IRIS strategy. Diversification means spreading money across different markets so that weakness in one area may be less damaging overall.