Lifestyle Investment Strategy

The Seafarers Retirement Savings Fund (SRSF) is designed to provide Plan members with a straightforward, professionally managed lifestyle investment strategy for their savings.

The level of risk a Plan member is prepared to take is likely to change throughout the different stages of life, with each stage potentially requiring a different balance of investment. The SRSF is a ‘lifestyle’ investment strategy that automatically allows younger Plan members to invest in growth assets such as equities. As members grow older and retirement approaches, the investment mix gradually becomes more conservative by moving into less volatile, generally more secure assets, such as fixed interest securities, during the latter years.

The SRSF invests in a range of index tracking and actively managed investment funds. Index tracking funds typically seek to deliver low cost exposure to the performance of a chosen investment index (such as the S&P 500). Active funds have the potential to deliver returns in excess of market averages (this cannot be guaranteed) through the skill of the fund manager, but are generally subject to higher management fees. Through both types of fund, the SRSF provides broadly diversified exposure to various asset classes, such as money markets, fixed interest, property, and developed and emerging market equities. The asset allocation and selection of the underlying range of funds is managed on an ongoing basis by Throgmorton Private Capital Ltd. a UK based investment specialist.

The SRSF automatically reduces investment risk by allocating its assets according to the length of time remaining to the Member’s retirement. The SRSF is linked to your selected retirement age (NRA) and the process of gradually reducing risk starts twenty years before this date, with the asset allocation changing on a monthly basis over this period of time.