Standard Life is launching Portfolio Risk Management, an online service that shows plan members their investment risk and enables them to monitor and maintain their preferred risk/return position.

A comfortable retirement depends on contributions, returns on investment and time. Good returns are achieved by managing risk, but how can members know where they stand? Portfolio Risk Management measures investment risk. The ‘R-meter’, a key component of the service, shows the aggressive, moderate or conservative risk/return positions for a member’s investments, along with analysis and suggestions for keeping them aligned. It also allows members to anticipate the impact that investment changes might have on their risk/return positions.

“You wouldn’t drive a car without a speedometer. Think of the R-meter as a speedometer for investments,” said Anthony Cardone, senior vice president, group savings and retirement. “Some of us accept greater risk with the expectation of higher returns, while others aren’t as comfortable with market fluctuations and opt for a more moderate approach. Portfolio Risk Management helps maintain mixes that fit members’ personal comfort levels and goals.

“This new service puts our sponsors further ahead in meeting their obligations under the Guidelines for Capital Accumulation Plans. Their members will be better informed, and better equipped to take a hands-on approach to their retirement savings,” added Cardone.