Aegon UK is now reportedly set to further extend its private market approach into its “second-largest” workplace default fund, the £12 billion Aegon LifePath strategy, currently serving “more than 375,000 pension savers.” From summer 2026 onwards, Aegon LifePath will aim to invest across “a broader range of asset classes, including diversified global private markets, protected equities and multi-asset credit.”
The private market investments will be accessed “through three Long-Term Asset Funds (LTAFs), managed by specially selected fund managers – Aegon Asset Management, BlackRock and J.P. Morgan Asset Management, targeting a 20% allocation in the growth stage and an 8% allocation at retirement.”
These improvements build on the “ongoing integration of private markets within Aegon UK’s largest workplace default fund, the £14 billion Universal Balanced Collection.”
They mark a further milestone in Aegon UK’s roadmap “to align the Universal Balanced Collection and Aegon LifePath workplace default strategies.”
Lorna Blyth, Managing Director – Investment Proposition at Aegon UK comments that back in 2024, they had created the “blueprint for integrating private markets into existing workplace default funds.”
Blyth added that they are now “taking the next step towards offering improved long-term growth potential and portfolio resilience for pension savers, while further aligning our £14 billion Universal Balanced Collection and £12 billion Aegon LifePath strategies.”
They also mentioned that these enhancements, combined with their ability to deliver the necessary breadth and pace required, position them as key industry players in “providing DC pension savers access to investments that have previously been out of reach.”
Aegon is committed to ensuring “consistency, scale, and resilience across their default investment options.”
Graeme Griffiths, Trustee and Chair of the Aegon Master Trust Investment Committee, said that as the retirement landscape continues “to evolve, our collaboration with Aegon UK has resulted in the creation of Aegon LifePath, a default fund that is both robust and adaptable.”
Griffiths added that they believe the “further changes to the fund – to include private market investments – offer the potential to deliver strong growth to their members over their working lives and beyond and to provide improved resilience during volatile markets.”
They further explained that the planned changes to their default fund mean every member invested in Aegon LifePath “can benefit further from a strategy that has been carefully designed to meet their future needs.”
By working closely together with Aegon UK, they believe that they have “created opportunities that truly address the requirements of their diverse set of members.”