EvoEnergy Highlights Benefits of Solar Investing for Retirement Income
New research compiled by UK solar company EvoEnergy has shown how investing a lump sum in solar or renewable investments rather than an existing pension plan can deliver double-digit returns for private investors in their retirement.
The results showed that domestic solar could deliver annual returns of more than 10 percent for the duration of the Feed-in Tariff (FiT), while a typical managed pension fund could be expected to grow by 6 percent per year over the same period after charges.
Those choosing to invest in certain larger renewables projects through a debentures-type scheme, meanwhile, could achieve yearly returns as high as 8 percent.
EvoEnergy said that while pensions come with the extra benefit of government tax relief, the difference in annual returns between PV and a pension from the same initial investment shows why solar investing should be seen as a serious addition for investors looking to diversify their existing retirement portfolios.
Aside from domestic solar, another such opportunity could be through alternative debenture investments with companies like Abundance Generation, which allows private investors with a lump sum to invest directly into larger renewable projects that support local communities.
EvoEnergy compiled the figures after the Minister for Climate Change claimed that solar could deliver better returns than a pension.
Image via Shutterstock
- NAEM 2015 EHS and Sustainability Software Buyers Guide
- 2015 Environmental Leader Product & Project Awards
- Best Practices in Electricity Procurement
- Improve Your Company's Environment and Energy Performance
- 2015 Insider Knowledge
- Practical Insights into the Implementation of GHS Around the Globe
- Beyond Compliance: Applying a Risk Lens to Your EHS Practice
- Just the Facts: 8 Popular Misconceptions about LEDs & Controls
- A Roadmap for Effective Process Safety Management
- Combined Heat and Power