Only 47% of investors have reviewed their pension funds in the past year, according to research by Investec Wealth and Investment.
The researchers also found just 18% said they ‘regularly’ review their funds.
There was some variation between older and younger investors with people aged between 55 and 64 more likely to review their funds. Of this age group, 62% said they had reviewed their pensions in the past year with 27% reviewing them regularly.
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The study also found nearly one in four (23%) pension investors do not know the level of risk on their main pension fund, while around 41% believe it is very low risk or low risk.
Many investors seem to have too little money in their funds, with 38% of those questioned having less than £75,000 saved, across all age groups.
Faye Church, senior chartered financial planner at Investec Wealth & Investment, said: “Anyone contributing to a pension should be reviewing their funds at least annually. So many people invest in the default fund available and then forget about it.
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“There can be a huge difference between investment selection and performance, which in turn dictates the growth of the pension fund, especially when you consider someone contributing in their 30s won’t be able to access the funds for another 20 years or so.
“Part of the investment review should focus on risk through asset allocation, as the longer you have to invest the longer you have for any peaks or troughs to even themselves out. Given most people can’t access their pensions until 55, this brings with it an opportunity for younger savers to obtain some good long-term growth within their pension.”
