Master trust asset allocation 2026
This is an ad-hoc publication of asset allocation in occupational defined contribution (DC) master trusts (MTs).
This publication is licensed under the Open Government Licence v3.0 except where otherwise stated. You can view this licence on the national archives site.
Published: July 2026
Summary findings
This analysis examines asset allocation across DC master trusts during the accumulation phase. Data reflects assets in 25 master trusts as at 31 December 2025, representing 74% of total MT assets.
Public markets account for the majority of default assets.
- equities and bonds make up 88% of default assets
As members approach retirement, investment arrangements shift from equities to bonds.
- equities fall from 77% at 30 years to retirement to 26% at retirement, while bonds rise from 13% to 56%
Most master trusts have some exposure to private markets, but deeper allocations are less common.
- around 60% of master trusts have some unlisted private market exposure, while around 20% of master trusts have at least 5%
Purpose and context
The occupational defined contribution landscape grew by 22% in assets and 7% in memberships in 2025. Within this landscape, over 83% of assets and 92% of memberships are held by master trusts.
The Pensions Regulator (TPR) is continuously evolving its monitoring and supervision of MTs to ensure focus on important risk areas and that its supervision is effective and targeted. Investment decision making is one of those risk areas TPR has identified.
Asset allocation data was collected by TPR’s Supervision Team to better understand how occupational DC MTs invest default assets. This publication contributes to an evidence base on asset allocation, including asset values across asset classes, listed and unlisted exposures, and UK and non-UK exposures. It establishes a baseline for monitoring market trends and provides greater transparency and visibility on asset allocation in the market.
Scope of analysis
This analysis examines asset allocation data from 25 master trusts as at 31 December 2025. This covers £207.7 billion of assets or (74% of all MT assets) across 38 default arrangements.
Focusing on asset allocation across DC MTs during the accumulation phase the publication sets out:
- total assets in accumulation
- asset distribution across key asset class characteristics (for more information see Table 1)
- how asset allocation shifts across the member journey from 30 years to retirement to at retirement (the glidepath)
Data for this analysis was collected via a supervisory request to all master trusts who were not in the process of actively winding up. All 28 MTs responded to our data collection exercise, with 25 MTs providing usable information on asset allocation.
Data was requested for MT’s main default funds. Self-select funds and decumulation arrangements are not in scope.
The analysis presents aggregate data and investment distributions. Individual trust data is not considered necessary to meet this publication’s objective of illustrating market-wide investment trends.
The Financial Conduct Authority (FCA) has conducted a similar asset allocation data collection exercise covering the largest contract-based group personal pension providers. A combined table bringing together data from FCA contract-based group personal pension providers with TPR’s occupational DC master trust data is included in the analytical tables to provide wider workplace DC market context.
For full definitions of asset classes or asset class characteristics please see the glossary.
Findings
Detailed analytical tables supporting these findings are provided in our analytical tables section.
Table 1: A summary of the MT asset allocation categories relating to the key findings of this publication
| Asset class characteristic | Asset value | Share of disclosed default assets |
|---|---|---|
| Non-UK investment | 175.5bn | 84.5% |
| UK investment | 32.2bn | 15.5% |
| Equities and bonds investment | 182.2bn | 87.7% |
| Unlisted private market investment | 12.3bn | 5.9% |
| Cash and Other investments | 7.0bn | 3.4% |
| Listed private market investment | 6.2bn | 3.0% |
| Non-UK investment | 175.5bn | 84.5% |
| UK public market investment | 25.5bn | 12.3% |
| UK unlisted private market investment | 5.3bn | 2.6% |
| UK listed private market investment | 1.4bn | 0.7% |
| Listed assets investment | 195.0bn | 93.9% |
| Unlisted assets investment | 12.7bn | 6.1% |
| Total disclosed default assets | 207.7bn | 100.0% |
Public markets account for the majority of default assets
Most assets are invested in listed public markets. Equities and bonds account for 88% of default assets.
£136.0 billion is invested in equities, equivalent to 65% of default assets.
- listed developed market equities are the largest detailed component and are mainly listed non-UK
- the median assets invested in equities across MTs is 69%, with relatively limited variation across MTs
£46.2 billion is invested in bonds, equivalent to 22% of default assets.
- the median assets invested in bonds across MTs is 19%, with relatively limited variation across MTs
Default arrangements evolve across the glidepath, with allocations shifting from equities into bonds
Across the glidepath, the main shift is from equities into bonds as members approach retirement.
- Equities fall from 77% at 30 years to retirement to 26% at retirement.
- Bonds rise from 13% at 30 years to retirement to 56% at retirement.
Cash also increases closer to retirement, from 2% at 30 years to retirement to 9% at retirement.
Most schemes invest in private markets, but allocations are limited
Unlisted private market investment is a small proportion of default assets.
- Master trusts invest £12.3 billion in unlisted private markets, equivalent to 6% of default assets.
- Whilst 60% of MTs invest in unlisted private markets, only 20% of MTs invest more than 5% of their assets in unlisted private markets.
- 50% of MTs invest less than 1% of their assets in unlisted private markets.
- The larger MTs invest more in unlisted private markets. 50% of members within default arrangements are in defaults which invest at least 5% of their assets in unlisted private markets.
- In the combined TPR and FCA data, around 5% of master trust and contract-based group personal pension provider assets are invested in unlisted private markets. Of this, around 2% is invested in the UK.
Listed and unlisted private market investments together consist of £18.5 billion assets, equivalent to 9% of default assets.
- 80% of MTs invest in listed and/or unlisted private markets, and 50% of MTs have more than 5% of their assets in listed and/or unlisted private markets.
UK private market investment is modest.
- 60% of MTs invest in UK unlisted private markets accounting for £5.3 billion invested.
- 70% of MTs invest in UK listed and/or unlisted private markets accounting for £6.7 billion invested.
Analytical tables
The analytical tables are based on data from 25 responding master trusts.
To reduce the risk of giving identifiable scheme data, we have rounded the figures based on the following method:
- assets are rounded to the nearest £1 million
- percentages are rounded to the nearest 1 percentage point, except Tables 1 and 2 which are shown to 1 decimal place
- in table 4 only, percentages are rounded to the nearest 10% to avoid disclosure of individual scheme allocations
To avoid disclosure, disclosure control techniques are always implemented before statistics are released. As an additional protective measure, details of the methodology are not published. Suppressed values are indicated by ##.
Please note that total rows may not add up to the sum of the components because totals are calculated before the individual values are rounded.
Table 2: MT and GPP asset allocation in key asset categories
The table below combines data from FCA contract-based group personal pension providers with TPR occupational DC master trust data to provide wider asset-weighted context across both parts of the workplace DC market. The figures should be read alongside the separate TPR and FCA publications, as the populations covered differ.
| Asset class characteristic | Master trusts (MTs) | Contract-based multi-employer schemes | Total (MTs and contract-based multi-employer schemes) |
|---|---|---|---|
| Non-UK investment | 84.5% | 84.7% | 84.6% |
| UK investment | 15.5% | 15.3% | 15.4% |
| Equities and bonds investment | 87.7% | 91.6% | 89.9% |
| Unlisted private market investment | 5.9% | 4.1% | 4.9% |
| Cash and Other investments | 3.4% | 2.2% | 2.7% |
| Listed private market investment | 3.0% | 1.5% | 2.2% |
| Non-UK investment | 84.5% | 84.7% | 84.6% |
| UK public market investment | 12.3% | 12.9% | 12.6% |
| UK unlisted private market investment | 2.6% | 1.5% | 2.0% |
| UK listed private market investment | 0.7% | 0.2% | 0.4% |
| Listed assets investment | 93.9% | 95.0% | 94.5% |
| Unlisted assets investment | 6.1% | 5.0% | 5.5% |
| Total disclosed default assets | £208bn | £260bn | £468bn |
Table 3: MT asset allocation across the glidepath
| Measure | 30 YTR | 5 YTR | At retirement | Change: 30 YTR to At retirement, ppt |
|---|---|---|---|---|
| Equities | 77% | 43% | 26% | -51 ppt |
| Bonds | 13% | 44% | 56% | 44 ppt |
| Infrastructure | 3% | 3% | 2% | -1 ppt |
| Cash | 2% | 3% | 9% | 7 ppt |
| Property / Real Estate | 3% | 3% | 2% | 0 ppt |
| Private debt / credit | 1% | 1% | 2% | 1 ppt |
| Private equity | 2% | 1% | 1% | -1 ppt |
| Other | 0% | 1% | 1% | 1 ppt |
Table 4: UK, private market and UK private market exposure across master trusts
“% of MTs” represents the percentage of master trusts which at an aggregate level across their disclosed defaults meet each investment threshold.
“% of defaults” represents the percentage of disclosed default arrangements which meet each investment threshold.
“% of members within defaults” represents the percentage of members across all disclosed defaults for which their default meets each investment threshold.
Please note that investment can vary between members within a default arrangement, so not all of these members will necessarily have individual investment exposure that meets the threshold.
UK assets
| Threshold | % of MTs | % of defaults | % of members within defaults |
|---|---|---|---|
| Non-zero exposure | 100% | 100% | 100% |
| At least 1% | 100% | 100% | 100% |
| At least 2.5% | 100% | 100% | 100% |
| At least 5% | 90% | 90% | 100% |
Unlisted private markets
| Threshold | % of MTs | % of defaults | % of members within defaults |
|---|---|---|---|
| Non-zero exposure | 60% | 50% | 70% |
| At least 1% | 50% | 30% | 70% |
| At least 2.5% | 30% | 20% | 60% |
| At least 5% | 20% | 10% | 50% |
Listed and unlisted private markets
| Threshold | % of MTs | % of defaults | % of members within defaults |
|---|---|---|---|
| Non-zero exposure | 80% | 80% | 100% |
| At least 1% | 70% | 70% | 90% |
| At least 2.5% | 70% | 70% | 90% |
| At least 5% | 50% | 40% | 60% |
UK unlisted private markets
| Threshold | % of MTs | % of defaults | % of members within defaults |
|---|---|---|---|
| Non-zero exposure | 60% | 40% | 70% |
| At least 1% | 30% | 20% | 50% |
| At least 2.5% | 10% | 10% | 50% |
| At least 5% | 10% | 10% | 50% |
UK listed and unlisted private markets
| Threshold | % of MTs | % of defaults | % of members within defaults |
|---|---|---|---|
| Non-zero exposure | 70% | 70% | 70% |
| At least 1% | 50% | 60% | 60% |
| At least 2.5% | 20% | 40% | 50% |
| At least 5% | 10% | 20% | 50% |
Table 5: MT asset values invested in various asset classes
| Asset class group | Listed UK (£) | Listed non-UK (£) | Unlisted UK (£) | Unlisted non-UK (£) |
|---|---|---|---|---|
| Listed equities | £6,218m | £129,787m | NA | NA |
| Bonds | £15,621m | £30,511m | ## | ## |
| Private markets | £1,362m | £4,869m | £5,318m | £6,972m |
| Cash | £3,599m | £2,110m | 0 | 0 |
| Other | £41m | £891m | ## | £333m |
| Total | £26,842m | £168,168m | £5,325m | £7,347m |
Table 6: Percentage of MT asset values invested in various asset classes
Percentages may not sum exactly to totals because of rounding and suppression.
| Asset class group | Listed UK (%) | Listed non-UK (%) | Unlisted UK (%) | Unlisted non-UK (%) |
|---|---|---|---|---|
| Listed equities | 3% | 62% | NA | NA |
| Bonds | 8% | 15% | ## | ## |
| Private markets | 1% | 2% | 3% | 3% |
| Cash | 2% | 1% | 0% | 0% |
| Other | 0% | 0% | ## | 0% |
| Total | 13% | 81% | 3% | 4% |
Table 7: Distribution of asset allocation across master trusts
| Metric | Mean | Median | 25th percentile | 75th percentile |
|---|---|---|---|---|
| Equities | 68% | 69% | 62% | 78% |
| Bonds | 20% | 19% | 13% | 27% |
| Cash | 5% | 1% | 1% | 4% |
| Infrastructure | 2% | 0% | 0% | 3% |
| Property | 2% | 1% | 0% | 4% |
| Private equity | 1% | 0% | 0% | 1% |
| Private debt / credit | 1% | 0% | 0% | 2% |
| Other | 1% | 0% | 0% | 1% |
| Unlisted private markets | 3% | 1% | 0% | 4% |
| Listed and unlisted private markets | 5% | 4% | 0% | 8% |
| UK assets | 18% | 12% | 8% | 21% |
| UK unlisted private markets | 1% | 0% | 0% | 1% |
| UK listed and unlisted private markets | 2% | 1% | 0% | 2% |
Methodology
This data was collected as part of a request to all master trusts who are not in wind up to support TPR with its supervision duties and to understand how schemes are investing their assets. Only occupational schemes are included. These trusts were only asked to provide data on their main default funds. Self-select funds are not in scope.
The asset allocation data includes all of the glidepath in accumulation including the growth, consolidation and pre-retirement phases but excludes the decumulation phase. The main market-wide asset values are therefore based on total assets held in accumulation.
This data reflects TPR’s records as of 1 April 2026, capturing scheme asset holdings as at 31 December 2025.
This publication provides a point-in-time picture as of end-2025, it does not account for any subsequent changes schemes are currently implementing as they react to legislation, guidance and changing scheme demographics.
Table 2 combines TPR occupational DC master trust data with data from FCA contract-based group personal pension providers. The FCA figures are taken from the separate FCA publication. The table is included to provide wider context across the workplace DC market, while recognising that the TPR and FCA publications cover different areas of the pensions market. Please refer directly to the FCA publication for methodology relating to contract-based group personal pension providers.
Disclosure control techniques are always implemented before statistics are released. As an additional protective measure, details of the methodology are not published. Suppressed values are indicated by ##.
Data is not weighted or imputed to account for non-response, which is detailed in the table below.
| Metric | Value |
|---|---|
| Number of MTs whose data was requested (#) | 28 |
| Number of MTs who disclosed validated data (#) | 25 |
| Proportion of all MTs included in the analysis (%) | 89% |
| Number of default arrangements included in the analysis (#) | 38 |
| Total value of all MT assets (£) | £279.9 billion |
| Total value of assets disclosed (£) | £207.7 billion |
| Proportion of total MTs assets with asset allocation data disclosed (%) | 74% |
Contact
Any enquiries regarding this publication should be sent to: evidenceandInsight@tpr.gov.uk.
Glossary
Accumulation phase
Members who are building up pension savings and are not in decumulation.
At retirement
The allocation profile for members at 0 years to retirement.
Cash
Cash and assets that offer low-risk alternatives to cash, such as money-market funds, treasury bills, insurance funds linked to these, or cash-like assets. Recent contributions not yet allocated and cash held for operating expenses are excluded.
Cash and other investments
Investments reported as cash or other asset classes.
Decumulation phase
Members who are no longer actively contributing to their pot and may have started accessing their pension saving.
Equities and bonds investment
Investments reported in equities or bonds.
Glidepath
The way in which a default arrangement’s asset allocation changes over time as members approach retirement. The glidepath represents stages within a continuous member journey, rather than separate or distinct arrangements.
Listed assets investment
Investments reported as listed UK or listed non-UK.
Listed and unlisted private market investment
Holdings in private market asset classes that are either listed or unlisted.
Main default arrangements
Default arrangements included in the data request. Bespoke employer-designed defaults, legacy defaults and self-select funds are outside the scope.
Private market asset classes
For this publication, private market asset classes are private equity, private debt / credit, infrastructure and property / real estate.
Public markets
Investments in assets traded on public markets, such as listed equities, bonds, cash and a small value of other non specified investments. In this publication, exposure to public markets is primarily captured through assets reported as listed; however, a small proportion of unlisted assets is also included.
UK investment
Investments reported as having primary UK exposure, including listed securities on UK markets, UK exposures within pooled funds, and assets tied to UK-based companies or borrowers. A full look-through to the location of underlying assets was not required.
UK listed private market investment
UK listed holdings in private market asset classes.
UK listed and unlisted private market investment
UK listed and unlisted holdings in private market asset classes.
UK public market investment
UK investment in publicly traded assets excluding UK private market investments.
UK unlisted private market investment
UK unlisted holdings in private market asset classes.
Unlisted assets investment
Investments reported as unlisted UK or unlisted non-UK.
Unlisted private market investment
Unlisted holdings in private market asset classes.
Winding up
Schemes in wind up are those who have formally notified TPR that they intend to wind up. After a scheme completes wind up, it ceases to exist. The scheme assets have been used to secure member benefits and any remaining amount has been either distributed to members or returned to the employer.
Years to retirement, YTR
Years to retirement is counted from the beginning of the year. The 30YTR, 5YTR and 0YTR points refer to the investment strategy applying to members at that distance from retirement on 1 January of the relevant year.