Your pension is invested and, like any other investment, it is affected by the world around us.
Global market volatility has remained evident in 2026, increasingly influenced by developments in the Middle East. Escalating regional tensions, security concerns and uncertain energy supply routes have contributed to volatility in global equity, oil and currency markets. Short-term fluctuations in prices therefore investment returns can reflect immediate reactions to these events.
It is important to remember to stay calm. Your pension is designed for the long term. History also shows that over the medium to long term, markets tend to recover.
What happens if I am approaching retirement?
If you’re in the Smart Sustainable Growth Fund (also known as our default fund) and approaching your retirement, your pension investments have already started to move into lower-risk investments, like bonds and gilts, to help ease the impact of market volatility.
If you’re considering taking money out soon, consider whether you could wait to access it. Ask yourself – “Do I need it now?" If not, waiting could give your savings more time to recover.
Free, trusted support is available from places like MoneyHelper, or you can speak to a financial adviser if you’re unsure.
Listen to James Lawrence, our Director of Investment Proposition, to find out more
Guidance and support
Smart Pension is here to support and answer questions about your pension. However, we are not regulated to give financial advice. If you’re looking for a financial adviser, visit moneyhelper.org.uk.