Why is the report important?
The annual report is not just a document that arrives in the mail. It is a snapshot of the savings: how much money has been accumulated, how much has been deposited, what are the management fees, in which track the money is invested and what coverages are available.
An orderly reading of the report can reveal missing deposits, high management fees, an inappropriate track or an old product that has not been tested for years.
Four areas worth checking out
Start from the total accumulation and the change compared to the previous year. Then check the actual deposits, and compare that they correspond to the salary or deposits you were supposed to make.
Later they checked management fees, investment track and insurance coverage. If something is not clear, it is a good sign to contact the fund manager or appropriate licensee.
What do we do with the information?
The report is a basis for action: bargaining over management fees, changing course, finding out missing deposits, conconservativeating information or a broader pension check.
You don't have to understand every line in the report to get started. It is enough to identify the key details and ask the right questions about what is not working.