Aegon Workplace Default fund

Our workplace default fund aims to grow savings in the early years then moves members into a more cautious investment mix as they approach retirement. It's for members who are likely to stay invested at retirement and want to keep their options open.

Aegon’s in-house default is designed as a solution for employers who believe most employees will stay invested at retirement, but may follow differing retirement patterns.

Benefits of Aegon Workplace Default:

  • Single solution to suit a broad range of pension scheme members.
  • Governed by Aegon.
  • Aims to grow employees savings in the early years, holding low-cost investments designed to perform in line with the markets they track.
  • Automatically moves into investments generally considered to be lower risk as employees approach their selected retirement age.
  • Ends up in a cautious, diversified mix of investments aimed at those who will stay invested in retirement.
  • Aims for growth above inflation, recognising some investors take time to choose an alternative investment strategy.

There’s no guarantee the fund will meet its objectives. The value of an investment can fall as well as rise and isn’t guaranteed. The final value of a scheme member's pension pot when they come to take benefits may be less than has been paid in.

How the Aegon Workplace Default fund works

Growth stage

In the early years the fund invests in a well diversified mix of equities and bonds, designed to provide the average-risk investor with long-term growth potential. To keep costs low, the fund uses passively managed investments which aim to produce returns broadly in line with the markets they track.

Pre-retirement stage

As members approach retirement age (currently six years before) we start moving them into investments generally considered to be lower risk, ending in a cautious mix that’s designed to keep their options open when they retire. This glidepath process happens automatically and gradually over the six year period until they reach their retirement date.

At retirement

When they reach their nominated retirement age, members will be invested in the Aegon Workplace Default Retirement fund, which they'll stay in until they decide what to do with their savings. This invests in a cautious asset mix that aims to provide continued moderate growth so members don't have to decide how to take their benefits immediately.

The fund can go down as well as up in value, at all stages including at retirement. If members choose to remain invested in retirement, there's a chance they could end up with less than they invested and they could run out of money too soon, particularly if they take an income.

Asset allocation figures on pie charts are indicative only and may change.


The Aegon Workplace Default fund is backed by our Funds Promise which means:

  • we believe it's a high-quality fund with a design that helps it meet its objectives
  • we monitor this fund to check if it performs as expected
  • we take action if it doesn't meet expectations, and
  • we give our customers the facts they need to make decisions

Our governance committee has an added duty of care to ensure our Aegon Workplace Default fund continues to be fit for purpose. This means:

  • as the retirement market evolves and customer needs change, we change it to meet these needs.
  • we reserve the right to make changes to asset allocation both in the growth and retirement stages, and to the length of glidepath to ensure our default fund continues to meet the needs of pension scheme members.

Our Funds Promise

We regularly check insured funds  to see if they're meeting expectations. Find out more.

Employer perspectives

Read our employer magazine - full of insight, industry news and articles to support you. 

Engagement in the workplace

Find out more about our work with the CBI.

Support for members

Already got an Aegon company pension? Your members can learn more about it here.