This article was penned by Michael Galea, Chief Business Development Officer at MAPFRE MSV Life plc
In navigating the realm of personal pensions, the significance of deliberate decision-making cannot be overstated.
Beyond the straightforward considerations of savings amount and duration, the pivotal factor in securing the financial future one aspires for lies in the investment choices that are made and the flexibility of the investment choices that are available over the years during which you will be saving towards your retirement.
With the Government pension cap currently set at just above €18,000 per annum gross for those born after 1962, the nuances of asset mix and investment returns emerge as decisive elements in determining the adequacy of your pension savings when you retire.
When considering which pension plan to select, it is important that you do not make the mistake of overlooking these crucial factors, namely, whether you will have the freedom or otherwise to select from a range of investment funds and fund managers and, more importantly perhaps, to change these during the duration of your pension plan.
The importance of this may not be immediately apparent but becomes evident when one is not happy with the investment performance of the underlying investments of the pension plan, particularly where the customer does not have the option to choose from a range of different fund managers, potentially leading to costly exits and prolonged transfer processes.
Remember that with pensions savings, you are probably entering into a long-term contract spanning many years.
The unit linked pension plans offered by MAPFRE MSV Life embrace an open architecture approach, empowering you to link your investment to a wide and diverse selection of funds that are made available to customers.
These funds are managed by a number of reputable international fund managers such as Fidelity International, MAPFRE Asset Management, Schroeders, Blackrock, and Invesco, apart from local funds managed by BOV Asset Management.
This flexibility not only allows you to align your investment strategy with your risk profile but also grants the ability to switch fund managers, from the range that is made available, seamlessly, ensuring your options remain open throughout your savings journey.
This is a key distinguishing feature that separates these plans from others available in the market and provides you with the peace of mind that your investment options remain open throughout the duration of your plan.
What distinguishes these pension plans offered by MAPFRE MSV Life is the unparalleled range of investment options, encompassing unique lifestyle managed funds along with conservative, balanced, and growth funds, apart from a wide selection of equity, bond, balanced and cash funds.
Moreover, MAPFRE MSV Life is also catering to the increasing demand for sustainable investments, offering a selection of sustainable funds for those prioritizing environmental, social, and governance (ESG) considerations.
MAPFRE MSV Life currently manages over 19,000 private pension accounts, accounting for a substantial €87 million in pension funds—a testament to its leadership in workplace and personal pension plans.
MAPFRE MSV Life, this year in its 30th year of providing protection, savings, investment and retirement solutions in Malta, is today well established as a credible provider of pension products.
Indeed, MAPFRE MSV Life is not only a reliable partner for your retirement journey but also provides you with the freedom to keep your investment options open throughout your pension saving horizon, ensuring that crucial adaptability you will need in the ever-evolving landscape of financial opportunities.
If you stop paying your plan before the chosen retirement date, you may not get back as much as you invested. If you invest in this product, you will not have access to your money before the retirement date. The value of your investment may go down as well as up.
MAPFRE MSV Life p.l.c. (C-15722) is authorised by the Malta Financial Services Authority (MFSA) to carry-on long-term business under the Insurance Business Act. MAPFRE MSV Life p.l.c. is regulated by the MFSA.
