Sometimes there are circumstances that can reduce the value of investments; rising interest rates, for example. Precisely to limit the risk of a lower pension, invest more in bonds than in shares just before the retirement date. Bonds ensure that the expected retirement income is stabilized as much as possible. This is because investing in bonds has a so-called cushioning mechanism: if interest rates rise, your bonds become worth less. But when interest rates are high, you can use your capital to buy more pension benefits from an insurer. The mechanism also works the other way around. Rises and falls in interest rates therefore have less effect on the amount of your ultimate pension benefit.