I have decided I wish (at least for now) to invest in the "Basically cash fund" in some of my pensions (mostly stakeholder types).
Have the cash funds been penalised in a similar manner to stock funds where tax deducted at source on dividends cannot now be recovered ? I know that bond funds do not have that penalty.
Is there any info comparing the returns of these funds without phoning them individually ? Yesterday I actually phoned Friends Prov and Weslyan. I think both said they were yielding about 4.25% which doesn't seem that great, leading me to wonder if they have been penalised by Gordon Brown like stocks. One of them also stated that stated their "basically cash" fund was actually mostly government stocks.
TIA