In response to Chris Beller's letter (Money Marketing, August 2), the principle behind the legislation with regard to stakeholder default funds is that members should not be forced to make their own decision about investment options.
The legislation does not require that each listed fund at scheme level is linked to a specific defined situation in which it would apply – as stated above, the legislation only requires that members are not forced to make their own investment decisions.
To comply with regulation 3(3), Opra requires stakeholder providers, on registration, to list a fund or funds into which members' contributions could be invested if they did not wish to make a choice. The provider is free to add further default investment options later.
Communications manager, Opra, Brighton