Your chance to prove your DC credentials at Workplace Pensions Live - with Columbia Threadneedle

With so many changes afoot in the defined contribution world, you need to stay on top of the myriad of changing rules, regulations, economic and investment landscapes, to be a Super DC Trustee.

That’s why at Columbia Threadneedle’s forthcoming Workplace Pensions Live session, we will be testing your knowledge on all things defined contribution in a fun and interactive way – though we can’t say too much for now!

Given that Workplace Pensions Live is only a short time away, we thought we’d start to get you thinking with the following three questions (answers are at the bottom of the page):

 

Q1: Which of the following DC scheme measures is planned for April 2016?

A. Banning of active member discounts

B. Raising auto enrolment minimum contributions

C. Automatic pot follows member transfers

D. Independent Governance Committees in contract-based schemes

 

Q2: Budgeting in retirement means DC savers taking sustainable withdrawals from their pension pots. Annuity rates can guide savers as to what constitutes a sustainable withdrawal. So for someone age 60 with a pensions pot of £100,000, what could they reasonably expect as annual income from a level annuity?

A. £3,000

B. £5,000

C. £6,500

D. £7,500

 

Q3: If you had invested your pension pot in income drawdown in the FTSE All Share Index on 1 Jan 2000 and taken withdrawals of 10 per cent per annum, escalating at 2% per annum (to approximate annual inflation), when would you have run out of cash?

A. 2005

B. 2007

C. 2009

D. 2011

 

We hope you managed to answer all three questions correctly. But even if you didn’t, do come and join us at Workplace Pensions Live on Thursday, 14th May in Edgbaston at Session 4: Who wants to be a Super DC Trustee? to test your DC knowledge. Not only will you learn a great deal, you may even win a prize! We look forward to seeing you then.

 

Best Wishes

 

The Columbia Threadneedle Institutional Team

 

ANSWERS:

Q1: A

Q2: B

Q3: C