PER: managed investment, profiles and retirement horizon

With a retirement savings plan (PER), management is handled by default using a "managed" approach: savings are invested according to a profile and gradually shifted towards less risky assets as retirement approaches. There are four "retirement horizon" profiles: conservative, balanced, dynamic, or aggressive. Without instructions from you, the manager will apply the "balanced retirement horizon" profile.

This page describes what the official fact sheets say. It does not cover: the specific financial details of each profile, the age or timeline for reorientation, the fees for managed accounts, the process for changing profiles, or the performance of a profile. The sources consulted do not provide this information. It also does not advise on which profile to choose.

The principle: delegated management, unless otherwise instructed.

Service-public.fr and economie.gouv.fr state the same rule: "The management of sums paid into the PER (Retirement Savings Plan) is carried out according to the principle of managed investment." Economie.gouv.fr begins this sentence with "Unless you specify otherwise" and describes managed investment as "delegating the management of your savings to a professional, according to your profile.".

The mechanism described by the two sites consists of two movements:

The fact sheets do not quantify either of the two movements. They do not specify the age at which the reorientation begins, nor the pace at which it occurs. The phrase "more profitable" describes the mechanism's intent: no fact sheet provides a return. For unit-linked funds, the public service website states that "their value fluctuates upwards or downwards" (see the section on investment vehicles).

The four "retirement horizon" profiles«

Service-public writes: "There are 4 investment profiles for the 'retirement horizon': conservative, balanced, dynamic or aggressive."«

The official fact sheets I read name the profiles. They don't provide their content: no share of shares, no allocation, no threshold. Therefore, this page cannot tell you how a "dynamic" profile differs from a "balanced" profile. You'll need to ask your plan manager.

The default profile: balanced retirement horizon

Service-public clarifies: "Unless you indicate otherwise, the 'balanced retirement horizon' profile will be applied by the manager of your PER."«

Two consequences can be read in the sentence, and no more:

• If you say nothing, the balanced profile applies; ;
• The phrase "unless otherwise indicated" (public service) implies that you may give other instructions.

The procedure for doing so is not described by service-public.fr or economie.gouv.fr in the pages consulted. It must be requested from the plan manager.

Self-management: a mention from economie.gouv.fr

Economie.gouv.fr states: "You can also choose to manage your PER (Retirement Savings Plan) freely," by selecting the funds in which to invest your savings. The official government website's information sheet on individual PERs does not include this information. Therefore, this page mentions self-management based solely on its source, without providing any details on how it works.

The foundations behind managed investment

The profile is expressed on various supports. These depend on the shape of the PER:

• PER insurance service-public indicates that it allows investment support in euro funds and in unit-linked funds; ;
• PER bank : it results in the opening of a securities account.

For unit-linked funds, the same information sheet states: "Their value fluctuates, increasing or decreasing." The capital invested in these funds is not protected. The information sheets do not specify which funds comprise each profile. The difference between the two types of PER (Retirement Savings Plan) is explained on a dedicated page.

What the manager needs to tell you

Economie.gouv.fr describes three information stages:

1. At the opening : the manager must provide "information on the characteristics of the plan, its management method and its taxation".
2. Every year : it must transmit information, for example, account developments, investment performance and transfer conditions.
3. From the 5th year preceding retirement : you can ask the PER manager about withdrawal options that are suitable for your situation.

The management mode is part of the information provided upon opening. Review it before allowing the default profile to be applied.

Which PERs are concerned?

Managed investment is mentioned on the official government websites for the individual retirement savings plan (PER), the group company retirement savings plan (PER d'entreprise collectif), and the mandatory company retirement savings plan (PER d'entreprise obligatoire). The four profiles and the default profile are detailed on the first two documents. The mandatory company retirement savings plan information sheet mentions managed investment as the default without detailing the profiles: this page does not apply to it. A Q&A from the French Treasury, published on December 11, 2020, stated that "other investment profiles will also be possible depending on the saver's preferences." None of the 2026 information sheets reviewed mention any other profiles.

Numerical example (fictitious profile)

Situation. Nadia, a fictional business owner, is 48 years old in 2026. She opens a PER and aims to retire at 65, i.e. in 2043. She has given no instructions on how to manage it.

Issue. Which profile applies to his plan, and for what duration?

Strategy. She begins by stating the rules in the text: unless otherwise indicated, the "balanced retirement horizon" profile applies. She then asks the manager for the document describing this profile and the timeline for reorienting their plan, which the official documents do not specify.

Result. Calculation based on its assumptions:

Nadia has a 17-year time horizon. Starting in 2038, counting by calendar years, she can ask her advisor about withdrawal options. This calculation provides a timeframe. It says nothing about the allocation of her savings or their value, which the official documents do not specify. The age of 65 is a hypothetical scenario; it is not a rule. The calculation for the "5th year" is confirmed with the advisor.

What changes depending on your situation

• Your horizon : the number of years before departure you are aiming for.
• Your form of PER : insurance (euro funds and unit-linked funds) or securities account.
• Your type of plan : individual, collective company or mandatory company.
• The actual content of the profiles : to be asked by your plan manager.
• Your overall situation : other investments, anticipated retirement, departure plans.

The rule depends on your situation. No results are guaranteed.