They are built for different journeys
A global equity fund usually invests mainly in company shares around the world. It is often designed for long-term growth, but it can rise and fall sharply along the way.
A multi-asset fund spreads money across different asset types, such as shares, bonds, cash and sometimes property or alternatives. The mix depends on the fund's objective and risk rating.
The equity fund may have higher long-term growth potential, but it can be more volatile. The multi-asset fund may feel steadier, although it may also have lower growth potential if it holds fewer shares.
Neither is automatically better. The right choice depends on your time horizon, risk tolerance and whether the fund is meant to be your whole pension strategy or one part of it.
How to compare them
- Check how much of each fund is invested in shares.
- Compare risk ratings and drawdowns.
- Look at returns over several periods.
- Ask whether you need growth, balance or stability.
- Make sure the fund matches your wider pension plan.