In the not too distant past people often used their cash reserves and invested them in penny stocks but these days they are taking a risk, their capital is tied up in a risky area which can lead to profit, or loss, but the market can provide a significant return over the period of the account. In normal times the stock market can be relied on to out-perform bank deposits by a reasonable amount, albeit with a higher risk factor because of market volatility. But these are not normal times 2008 has proved to be a very troubled year for the markets with share prices dropping considerably with the resultant drop in investment returns. This is very bad news for many pension funds and in particular for those individuals reaching imminent retirement age.