Salams, I am currently in a workplace pension, i contribute 2 % employer 6 % . The investment company is Target date fund and seems like a money investment pension scheme where we both contribute. The one i am in is below:
Target Date Fund Overview
This is a ready-made option designed to meet the needs of a wide range of people in the Scheme. It does most of the work for you
by choosing where your savings are placed and then moving them into more cautious investments as you get older and closer to
the date that you’ve told us you want to retire at. It is flexible, easily adapting to reflect the ever changing world.
Although it’s been created to meet the needs of a wide range of people, the Target Date Fund may not be the right investment
choice for all members and their personal circumstances.
The value of your investment and income may fall as well as rise, and you may not get back your original investment.
What type of funds do Target Date Funds invest in?
Equities: “Shares or Stocks” in companies based in the UK and around the world which entitles the owner to a share of their
future profits. These may include property companies.
Bonds: Loans typically made over a fixed period to governments and companies that entitle the owner to a fixed annual
interest amount followed by a return of the loan amount at the end.
Diversified: A mix of investments, including bonds, companies, countries and property. It invests your money across different
types of assets to help smooth out risk
Actual Underlying Investment Allocation:
Global Developed Market Equities, 44.9%
Global Multi-Factor Equities, 10.5%
Low Carbon Equities, 15.2%
Global Value Equities, 2.0%
Global Small Cap Equities, 7.2%
Emerging Market Equities, 10.3%
Global Property, 7.0%
Commodities, 2.9%
Global Corporate Bonds, 0.0%
Short Duration Global Credit, 0.0%
Gilts, 0.0%
Index-Linked Gilts, 0.0%
Cash, 0.0%
Is this halal for me to continue to be contributing to?
They also have an Ethical target date fund as described below
Ethical Target Date Fund Overview
This is a ready-made option designed to meet the needs of people who wish to focus their investments on ethical beliefs, by
choosing to exclude investments in companies that provide certain products or services, for example tobacco.
It does most of the work for you by choosing where your savings are placed and then moving them into more cautious investments
as you get older and closer to the date that you’ve told us you want to retire at. It is flexible, easily adapting to reflect the everchanging world.
The Fund aims to achieve the highest investment return from ethical investments, while taking a suitable level of risk.
The value of your investment and income may fall as well as rise, and you may not get back your original investment.
What type of funds do Target Date Funds invest in?
Equities: “Shares or Stocks” in companies based in the UK and around the world which entitles the owner to a share of their
future profits. These may include property companies.
Bonds: Loans typically made over a fixed period to governments and companies that entitle the owner to a fixed annual interest amount followed by a return of the loan amount at the end
Actual Underlying Investment Allocation:
Global Developed Equities—Ethical, 27.1%
Global Developed Market Equities
(Hedged)—Ethical, 45.0%
Global Multi-Factor Equities—Ethical, 19.4%
Emerging Market Equities—Ethical, 6.5%
Global Corporate Bonds—Ethical, 1.0%
Long Dated Gilts, 0.4%
Medium Dated Gilts, 0.0%
Short Dated Gilts, 0.0%
Long Dated Index-Linked Gilts, 0.6%
Short Dated Index-Linked Gilts, 0.0
Would this be permissable to switch to if the first one is not ?
Jzk Khair in advance