Welcome to your Parker Hannifin Pension & Death Benefit Plan

In order to effectively manage the transition of members’ assets and to mitigate market volatility, your full asset value is moved in two separate transfers. The first, which took place during w/c 12 April 2021, represents the majority of your account value and is what you can currently see in PlanViewer. This is part of the normal asset transfer process, agreed by the Trustee and the Plan’s advisers. The remaining balance of your account will be moved in the second transfer during w/c 26 April, 2021. If you have any concerns regarding the transition, please contact Fidelity’s WI Service Centre on 0800 3 68 68 68.

• The provider of the Plan will change from Prudential to Fidelity from 1 February 2021. From this date, all future contributions to your Pension Account will be automatically managed and invested by Fidelity, rather than Prudential. You do not need to do anything.
• Alongside the change in provider, new investment options are being introduced.  
• To allow these changes to be made, there will be a ‘transition blackout period’ (between 8 and 29 April, 2021).
• In April 2021, all the assets you previously built up under the Prudential plan, will be automatically moved to your new account with Fidelity, as part of a ‘bulk transfer exercise’.

Fidelity is a leading Defined Contribution pension provider, chosen for its pension expertise plus the quality of services provided to members as well as offering a tailored approach to the Plan. The Trustees believe that the change in provider to Fidelity will deliver excellent value for members through competitive fund charges. Fidelity will offer a wide range of funds and a market leading retirement service, along with enhanced interactive tools and modellers to help you to better plan for your retirement.

The Trustees also reviewed the investment funds available and have decided to offer a range of options which ensure that you can invest your Pension Account in a way that’s most suitable to you.

There will be a period of time known as a ‘transition blackout period’ while the changes above are made; during this period you will not be able to make any changes, such as fund switches or transfers out, whilst the investments are being changed and records updated. Your Pension Account will remain invested during this period, however you will not be able to make any changes to your investments. This period will be between 8 and 29 April, 2021.

You can, however, make changes before the blackout period begins on 8 April, 2021. If you are a current Parker Hannifin employee, you will be able to do this through Fidelity’s online account management tool called PlanViewer or by phone using the contact details provided at the bottom of this page. If you are no longer employed by Parker Hannifin, but are still a member of the Plan, you can do this by completing and returning the form that was sent to your home address recently. After the transition blackout period has ended on 29 April, 2021, all members of the Plan will be able to make changes via PlanViewer or by phone using the contact details provided at the bottom of this page.

The Trustees suggest that you plan accordingly with regard to your investment choices during the blackout period and have provided information in this document to assist with any general questions about the changes and how to make changes to your choices.

A lifestyle investment strategy is the term used for a pre-set automated investment strategy, which initially allocates your investments to assets with higher investment risk, such as the shares of companies (equities), which would normally expect to achieve a higher return over the long term. It then gradually switches to funds which aim to protect the value you have built up, as you approach your selected retirement age. This is known as ‘de-risking’. 

The lifestyle strategy offered under the Plan is the Flexible Income Option and the ‘de-risking’ process starts 15 years from your selected retirement age. The target retirement age for the Plan is automatically set at age 65. Current legislation allows you to take your pension at any time
from age 55.

The Flexible Income Option is the default investment strategy for the Plan, which means that this is how your account is automatically invested if you have not previously advised us of a specific investment decision.

The Flexible Income Option remains the default investment strategy for the Plan, however the four funds that make up this strategy have been changed and are now ‘white-labelled’; blended funds. They are known as:

• The Early Growth Fund;
• The Growth Fund;
• The Approaching Retirement Fund; and
• The At Retirement Fund.

This simply means that the four funds that comprise the default strategy also invest in other ‘underlying’ funds. These underlying funds can have the proportion of investment in them changed from time to time, and they can also be replaced completely with alternative investment funds.  

In addition, we have introduced an all-new self-select fund range. For more information, please see ‘Do I still have the option to choose my own funds?’

An Investment Choices Guide, containing information about all of the funds, is available on this site and will also be available on PlanViewer from 1 February, when the Plan launches with Fidelity.

Yes, unless you choose to self-select your own investment option(s) ahead of the transfer.

All members will be mapped automatically to the Flexible Income Option, but you will be able to select your own investment option(s) ahead of the transfer. This is to comply with guidance from the Department for Work and Pensions, which states that Trustees must avoid creating unintentional default funds when transferring funds without consent.

Yes, we have introduced a new self-select fund range, allowing you to choose your own individual funds, if you prefer not to invest in the Flexible Income Option.

During April 2021, the assets that you previously built up within the Prudential plan will be automatically moved to Fidelity and invested in the Flexible Income Option. However, you will have the opportunity to choose funds before the transition blackout period begins. 

The following table provides details of the funds you can select from, should you choose not to invest in the Flexible Income Option. The table also compares the Fidelity self-select funds alongside their nearest equivalent current Prudential self-select fund; and provides a comparison of the Total Expense Ratio (TER), which is a measure of the total cost of a fund to you as an investor.

More information on the self-select funds, including the underlying funds that make up the Diversified Growth fund, are available in the Fund Factsheets section of this website. These factsheets outline the fund obectives and risk levels. Please note you should regularly review the funds in your pension and ensure they continue to meet your retirement goals. If you are unsure of the right approach for you personally you should speak to an authorised financial adviser.

The Trustees have decided to simplify the self-select fund range and not include an Emerging Markets Equity fund or a Property fund in the new range. Members who are currently invested in those Prudential funds should select alternative investments.

The Diversified Growth Fund is a blended, white-labelled fund, which invests in other ‘underlying’ funds. These underlying funds can have the proportion of investment in them changed from time to time, and they can also be replaced completely with alternative investment funds.
 

If you are a current employee of Parker Hannifin, you are able to invest your previously saved assets with Prudential in to a different investment option than the future contributions you make via Fidelity, if you wish.

Using Fidelity’s PlanViewer, click ‘Manage my Plan’ > ‘Change investments’  to see the following option:

If you would like to invest both your existing investment and future contributions in the same way, you only need to fill out one of the online forms; you will be presented with a checkbox at the end of the process, asking if you would like to replicate your decision across both options.

Additionally, if you are a current employee of Parker Hannifin, you are able to allocate your different contribution types to different investment funds, if you wish. For example, if you choose to make Additional Voluntary Contributions (AVCs), these could be invested in to a different investment option than your regular Employer or Employee Contributions.

Simply click on Manage my plan > Change investments > Future Contributions and you will be presented with a drop down box allowing you to choose which contribution type you would like to apply your investment switch.

There are no direct charges applied to your Pension Account for moving your Pension Account to Fidelity or changing the investments. However, when investments are bought and sold (including if you make fund switches), there may be transaction costs which affect the value of your Pension Account. The actual transaction costs cannot be known in advance as they depend on the value provided on the day of transfer. 
    
Further, when member Pension Accounts are moved between providers, or between funds, there may be a period of time that your assets are not invested in the market; this is referred to as ‘out of market risk’.  

The Trustees are working with Fidelity to minimise the impact on your Pension Account in respect of these aspects.

You do not need to take any immediate action. However, after the blackout period has ended, you should login to your Pension Account with Fidelity to review your investment choices and your selected retirement age to ensure they are in line with your retirement plans.

Yes. You will be issued with a welcome pack from Fidelity during February 2021. The pack will include details of how you access your online account through Fidelity’s PlanViewer website, which includes the library containing the full member guides for the Plan. You may also contact Fidelity’s Pensions Service Centre by phone after the blackout period has ended using the contact details at the bottom of this page.

Should you wish to speak with a financial adviser to understand your options, we recommend that you visit MoneyHelper.org.uk which can provide you with a list of registered financial advisers in your area.

The transition of members’ assets from Prudential to Fidelity is being carried out as part of a bulk transfer exercise, which was communicated to you in our letter dated 18 December 2020. Whilst the plan with Fidelity launched on 1 February 2021, the automatic transfer of  your previous assets from Prudential to Fidelity will not take place until April 2021. In order to facilitate this, a ‘transitional blackout period’ will be in place between 8 and 29 April. You will therefore see your correct total value on PlanViewer after 29 April 2021. In the meantime, you will see your monthly contributions from 1 February 2021, and any corresponding investment returns added to your account as normal. Further details are available In ‘What is changing and when?’ and ‘What is a ‘transitional blackout period’?’ More information is also available in Fidelity’s recorded presentation which is available to view on this website.