The Mercer Master Trust – Default Fund Performance 

Our Master Trust’s default savings phase fund – the Mercer Growth Fund – has played an important role in growing members’ savings in real terms, with the aim that they can enjoy an adequate and sustainable income in retirement.

We are often asked about the performance of our Mercer Growth Fund, which launched in August 2011, against its objectives of achieving long term growth and delivering lower volatility than a pure equity market portfolio. To help demonstrate this we also put this performance in the context of a member’s overall outcome based savings goal – the aim being that member’s pension pots grow in excess of an inflation outcome based hurdle to build their pension pots in real terms.

^{Source: Mercer, Financial Express and Refinitiv. Inception date taken as 22 August 2011.
Figures shown are net of all investment fees, but exclude administration costs which are specific to each participating employer.
Current target benchmark: FTSE GBP 1 Month Euro Deposit Index + 4% p.a.
Outcome based hurdle shows the performance of a portfolio that outperforms UK Consumer Price Inflation by 3% per year. It is intended to give an indicative benchmark for achieving sustainable growth of member’s pension pot.}

_{Source: Mercer, Financial Express and Refinitiv. Inception date taken as 22 August 2011.
Figures shown are net of all investment fees, but exclude administration costs which are specific to each participating employer.
Current target benchmark: FTSE GBP 1 Month Euro Deposit Index + 4% p.a.
Outcome based hurdle shows the performance of a portfolio that outperforms UK Consumer Price Inflation by 3% per year. It is intended to give an indicative benchmark for achieving sustainable growth of member’s pension pot.}

When saving for an adequate and sustainable income in retirement, the risk of the investment strategy is equally as important as the return generated. The analysis shown below for the Mercer Growth Fund details the Fund’s performance over a range of metrics against a global equity index for comparison:

_{Source: Mercer, Financial Express and Refinitiv. Inception date taken as 22 August 2011.
Figures shown are net of all investment fees, but exclude administration costs which are specific to each participating employer.
Equity benchmark taken as MSCI World Index, sourced from Refinitiv.
Volatility = Average deviation of returns over the period. A measure of how much performance can rise and fall.}

Our Master Trust aims to provide strong risk adjusted returns for default members in order to deliver an adequate and sustainable income in retirement. The investment design builds on our core investment beliefs which are summarised below:

If you would like to know more about how the Mercer Master Trust can help you and your members save for an adequate and sustainable retirement or if you would like to know more about the Mercer Growth Fund, how it is structured and managed, then please contact us to find out more.

_{Important Notices}

_{© 2023 Mercer Limited. All rights reserved}

_{Mercer Limited is authorised and regulated by the Financial Conduct Authority. Registered in England No. 984275. Registered Office: 1 Tower Place West, Tower Place, London, EC3R 5BU.}

_{This guide is for information only and is not personal financial advice. If you require financial advice you should seek this from an authorised financial adviser.}

_{The value of investments can go down as well as up, so you could get back less than you invest.  Past Performance is not a reliable indicator of future results.}