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In retirement news, the UK Government has confirmed that the State Pension age will rise to 67 between April 2026 and March 2028, impacting millions born between 1961 and 1977. Future increases to age 68 or beyond are widely anticipated as life expectancy improves and public finances become more constrained.

While the government may delay when you can retire, your financial independence doesn’t have to wait. In fact, this is a wake-up call for many to explore alternative investments—assets outside the traditional stock and bond markets—that can build a stronger, more flexible retirement portfolio.

At De Pointe Research, we believe that allocating 10–20% of your portfolio to alternative investments can boost resilience, reduce correlation with market downturns, and create real opportunities for above-market returns.

Why Alternatives Now?

Traditional pensions and workplace schemes have their place, but they often rely heavily on equity markets, interest rates, and economic cycles. Alternative investments offer:

• Diversification: Lower correlation with mainstream financial markets
• Inflation protection: Real assets often outperform during inflationary periods
• Attractive returns: Many alternatives have delivered 8–20%+ annually
• Tax efficiency: Some are CGT or VAT exempt, depending on structure

5 Alternative Investments to Strengthen Your Pension

1. Investment-Grade Art

With art outperforming many asset classes, up 11% in 2023 and showing ten year returns of 106% according to the Knight Frank Luxury Investment Index, it’s no surprise wealthy investors are turning to it as a long-term store of value.

• Capital Growth: Some artists offer 20%+ annualised returns when backed by strong curatorial teams
• Tangible Asset: A physical asset outside financial system risk
• Tax Efficient: Potential CGT benefits depending on jurisdiction and structure

Ideal for: long-term investors seeking uncorrelated growth with portfolio prestige.

2. Venture Capital via EIS/SEIS

The UK’s Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) offer access to high-growth startups, backed by powerful tax incentives.

• Up to 50% Income Tax Relief
• No Capital Gains Tax on qualifying disposals
• Loss Relief if the business fails, reducing net exposure
• Inheritance Tax Relief after two years (via Business Relief)

This strategy is popular among high earners and those seeking to reduce their personal tax burden while supporting innovation in tech, life sciences, and green energy.

Ideal for: tax-savvy investors with a long-term outlook and appetite for calculated risk.

3. Fractional Property Investment

With buy-to-let becoming increasingly regulated, many investors are turning to fractional property platforms or real estate syndicates.

• Access to Institutional Deals: Without the admin of being a landlord
• Regular Income: Rental yields, with potential capital appreciation
• Flexible Structures: REITs, peer-to-peer, or SPV-led equity

Ideal for: income-focused investors looking to diversify beyond pension property funds.

4. Physical Gold and Precious Metals

Gold has long been seen as a hedge against both inflation and political risk. In a world of rising interest rates and declining trust in fiat currencies, physical gold is regaining relevance.

• Uncorrelated Store of Value: Robust during market shocks
• Capital Gains Tax-Free: On certain UK-minted coins like Sovereigns and Britannias
• Portable Wealth: Unlike pensions, gold offers direct ownership

Ideal for: capital preservation and legacy planning.

5. Private Credit & Asset-Backed Lending

Private lending platforms now allow investors to fund businesses or asset-backed projects in exchange for targeted fixed returns of 8–15%.

• Collateralised Lending: Security via property, art, inventory, or receivables
• Short to Medium Duration: 12–36 months typical
• Passive Income: Monthly or quarterly interest payments

Ideal for: investors seeking yield in a low-savings-rate environment.

A Diversified Pension, Built on Your Terms

The rise in the State Pension age is more than a policy change—it’s a signal that you’re increasingly responsible for your own financial future.

Alternative investments can offer:

With the pension age rising and real returns from traditional pensions under pressure, investors need to think differently.

At De Pointe Research, we specialise in researching high-quality alternative investments that offer security, performance, and structure. Whether you’re five years or fifteen years from retirement, the best time to diversify is now.

Download our free guide to alternative pension strategies or speak to one of our researchers to learn how you can take control of your financial independence, long before the State says you’re ready.