New Ireland Retirement Fund (IRIS) 2036

The Retirement 2036 Fund (3) follows a lifestyle approach, so its mix of investments changes over time rather than staying fixed. It can use equities, fixed income, property, cash, multi-asset and other asset classes such as corporate bonds, government bonds, high yield bonds, infrastructure, commodities and alternative investments. As retirement approaches, the fund gradually moves from a higher-risk strategy toward a medium/low-risk strategy.

The Retirement 2036 Fund (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 part of the IRIS lifestyle range, which is designed to grow and safeguard retirement savings based on the expected year of retirement. This makes it most relevant for investors targeting retirement around 2036.

The Retirement 2036 Fund (3) uses a glide path, meaning it automatically shifts from a higher-risk investment strategy earlier on to a medium/low-risk strategy nearer retirement. The aim is to reduce the amount of risk taken as the retirement date gets closer. This can help limit the impact of short-term market swings, which are rapid ups and downs in investment values.

The Retirement 2036 Fund (3) carries sustainability risks and short-term volatility risk. Sustainability risk means the value of the investments could be affected by environmental, social or governance issues in the companies or assets it holds. Short-term volatility means the fund’s value can rise or fall quickly over short periods, even if it is designed for medium to long-term investing.

The Retirement 2036 Fund (3) is managed by State Street Investment Management and Legal and General Investment Management (LGIM). The fund may also use securities lending in some underlying share or bond holdings, which means temporarily lending securities to try to earn extra return. Securities lending can add extra risk because the fund relies on the borrower returning the securities as agreed.