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  • FIRST POST
    • redginger44
    • By redginger44 9th Sep 17, 9:52 AM
    • 13Posts
    • 4Thanks
    redginger44
    Pension transfer
    • #1
    • 9th Sep 17, 9:52 AM
    Pension transfer 9th Sep 17 at 9:52 AM
    I am now looking to transfer my pension from my company closed scheme and it is around 500k my advisor has suggested a company called square Mile investment and research Has anybody used them ? I am nervous as concerned for the future as this is in essence my full retirement money
Page 1
    • Drp8713
    • By Drp8713 9th Sep 17, 10:23 AM
    • 738 Posts
    • 614 Thanks
    Drp8713
    • #2
    • 9th Sep 17, 10:23 AM
    • #2
    • 9th Sep 17, 10:23 AM
    Is your advisor regulated by the FCA?

    https://www.fca.org.uk/news/warnings/square-mile-financial-clone-firm

    There is the above warning about a company called Square Mile, but the name is slightly different.

    https://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapid=254147563

    The one you seem to be referring to above is a research company who advise advisors on funds, so also wouldnt actually be the place your money is invested. Plus if your advisor is using them im assuming they are passing on extra costs to you.

    What is wrong with your company pension?
    • xylophone
    • By xylophone 9th Sep 17, 10:54 AM
    • 22,881 Posts
    • 13,235 Thanks
    xylophone
    • #3
    • 9th Sep 17, 10:54 AM
    • #3
    • 9th Sep 17, 10:54 AM
    I am now looking to transfer my pension from my company closed scheme and it is around 500k
    You need to be extremely cautious.

    https://www.pensionwise.gov.uk/en/scams

    How to protect yourself

    Check if the person or company contacting you is on the Financial Services Register or call the Financial Conduct Authority on 0800 111 6768. If you call the person or company back, use the phone number listed on the Financial Services Register.


    Is this a defined benefits pension?

    If so, is your adviser a Pensions Transfer Specialist?

    http://www.pruadviser.co.uk/content/knowledge/technical-centre/pension_transfer_conversion/
    • dunstonh
    • By dunstonh 9th Sep 17, 12:20 PM
    • 89,490 Posts
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    dunstonh
    • #4
    • 9th Sep 17, 12:20 PM
    • #4
    • 9th Sep 17, 12:20 PM
    my advisor has suggested a company called square Mile investment
    If my memory serves me, Square Mile Investment consultancy is not an investment company. It is a research company that supports financial advisers in building portfolios. They have an advisory solution and a discretionary solution. The advisory solution typically does not add any costs to you as most advisers use third party solutions. The discretionary solution is usually an added cost. Sometimes DFMs have a large added cost. Sometimes it is small.

    I am nervous as concerned for the future as this is in essence my full retirement money
    It is a more advanced option but with £500k, you would expect that.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • bostonerimus
    • By bostonerimus 9th Sep 17, 3:29 PM
    • 865 Posts
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    bostonerimus
    • #5
    • 9th Sep 17, 3:29 PM
    • #5
    • 9th Sep 17, 3:29 PM
    I am now looking to transfer my pension from my company closed scheme and it is around 500k my advisor has suggested a company called square Mile investment and research Has anybody used them ? I am nervous as concerned for the future as this is in essence my full retirement money
    Originally posted by redginger44
    Exactly what funds/investments is your adviser suggesting? How much will you be paying in fund, platform and advisor fees? If you don't know those simple facts then you have no business doing the transfer.
    Last edited by bostonerimus; 09-09-2017 at 3:38 PM.
    Misanthrope in search of similar for mutual loathing
    • redginger44
    • By redginger44 10th Sep 17, 1:21 PM
    • 13 Posts
    • 4 Thanks
    redginger44
    • #6
    • 10th Sep 17, 1:21 PM
    • #6
    • 10th Sep 17, 1:21 PM
    My company pension is potentially going into PPF and I now have options I have gone from coasting along happily ignorant to now into the murky world of pensions and a IFA thanks for your help I understand now I think !
    • bostonerimus
    • By bostonerimus 10th Sep 17, 4:30 PM
    • 865 Posts
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    bostonerimus
    • #7
    • 10th Sep 17, 4:30 PM
    • #7
    • 10th Sep 17, 4:30 PM
    My company pension is potentially going into PPF and I now have options I have gone from coasting along happily ignorant to now into the murky world of pensions and a IFA thanks for your help I understand now I think !
    Originally posted by redginger44
    If you understand you should be able to tell us the funds your IFA is recommending and all the fees that you'll have to pay. Turning your money over so someone to manage without fully understanding what's happening is why we hear so many horror stories.
    Last edited by bostonerimus; 10-09-2017 at 8:01 PM.
    Misanthrope in search of similar for mutual loathing
    • JoeCrystal
    • By JoeCrystal 10th Sep 17, 5:36 PM
    • 1,248 Posts
    • 702 Thanks
    JoeCrystal
    • #8
    • 10th Sep 17, 5:36 PM
    • #8
    • 10th Sep 17, 5:36 PM
    My company pension is potentially going into PPF and I now have options I have gone from coasting along happily ignorant to now into the murky world of pensions and a IFA thanks for your help I understand now I think !
    Originally posted by redginger44
    Well, again. what wrong with having company pension going into PPF? It is still guaranteed index linked income although not so generous. bostonerimus made a very good point, exactly what your adviser is recommending with the fund? You should be able to answer bostonerimus' questions on this with ease.
    Last edited by JoeCrystal; 10-09-2017 at 5:39 PM.
    • xylophone
    • By xylophone 10th Sep 17, 11:04 PM
    • 22,881 Posts
    • 13,235 Thanks
    xylophone
    • #9
    • 10th Sep 17, 11:04 PM
    • #9
    • 10th Sep 17, 11:04 PM
    Is this company pension a defined benefit pension?
    • redginger44
    • By redginger44 11th Sep 17, 8:16 PM
    • 13 Posts
    • 4 Thanks
    redginger44
    Yes it is a db scheme I more in early stages and really wanted to know if anybody had heard of square mile or had had a pension transferred as funds not been selected just know square mile will do the research and manage with my ifa
    • bostonerimus
    • By bostonerimus 12th Sep 17, 5:43 AM
    • 865 Posts
    • 436 Thanks
    bostonerimus
    Yes it is a db scheme I more in early stages and really wanted to know if anybody had heard of square mile or had had a pension transferred as funds not been selected just know square mile will do the research and manage with my ifa
    Originally posted by redginger44
    Without some details about your age and the DB pension benefits it's impossible to know if the transfer is a good idea. Additionally, without knowing the costs and the funds an IFA proposes there's no way to know if the DC option would be sensible.

    I imagine an IFA using a research firm like Square Mile would not come without some expense and will depend on the type of service they and you get.

    https://www.squaremileresearch.com/Fund-Video/FundId/14/VideoType/3

    Frankly, this is the same "old rope" that's been sold for years.
    Last edited by bostonerimus; 12-09-2017 at 12:34 PM.
    Misanthrope in search of similar for mutual loathing
    • redginger44
    • By redginger44 12th Sep 17, 9:36 PM
    • 13 Posts
    • 4 Thanks
    redginger44
    I am 53 and unless I wait until 65 I will in essence loose 3% a year from my pension so at 55 30% of my pension which is when I wish to retire my cetv value is approx 500k so I feel to transfer out will give me more flexibility and also I am single with no children so don't need to worry about providing for anyone
    • bostonerimus
    • By bostonerimus 13th Sep 17, 1:46 PM
    • 865 Posts
    • 436 Thanks
    bostonerimus
    I am 53 and unless I wait until 65 I will in essence loose 3% a year from my pension so at 55 30% of my pension which is when I wish to retire my cetv value is approx 500k so I feel to transfer out will give me more flexibility and also I am single with no children so don't need to worry about providing for anyone
    Originally posted by redginger44
    How much pension will you receive at age 55 vs age 65. What other investments do you have? How much income do you need? Why do you want to retire at age 55 and what do you plan to do? Also we still don't know what funds and fees will be involved in the transfer.
    Misanthrope in search of similar for mutual loathing
    • redginger44
    • By redginger44 13th Sep 17, 8:52 PM
    • 13 Posts
    • 4 Thanks
    redginger44
    I want to retire at 55 to look after my elderly father I Have 100k in savings and ifa wants 2% of my 500k pension pot also at 65 pension 20k per year and at 55 14k assuming don't take 25% lump sum -that all with my db pension which closed feel that I can utilise my pot better and more flexibility if take out also don't trust company and may end up in ppf which despite 10% reduction more favourable returns if retire early
    • bostonerimus
    • By bostonerimus 13th Sep 17, 10:12 PM
    • 865 Posts
    • 436 Thanks
    bostonerimus
    Is your pension index linked?

    If we assume that it is and inflation is 3% then you only have to average 3% return on your 500k pot to have it produce the same income as the pension out to age 90. If you can get 5% then you would be able to take withdrawals at age 55 starting at 19k rather than 14k. Whether that is worth the risk or the added costs of the transfer needs a bit more calculation. So you need to find out what ongoing fees will be associated with this transfer and how your IFA proposed to invest the money.
    Misanthrope in search of similar for mutual loathing
    • dunstonh
    • By dunstonh 13th Sep 17, 10:34 PM
    • 89,490 Posts
    • 54,952 Thanks
    dunstonh
    I Have 100k in savings and ifa wants 2% of my 500k pension pot
    2% of £500k is disgraceful. Tell him to take a hike. That is indecent.
    I am an Independent Financial Adviser (IFA). Comments are for discussion purposes only. They are not financial advice. Different people have different needs and what is right for one person may not be for another. If you feel an area discussed may be relevant to you, then please seek advice from a Financial Adviser local to you.
    • atush
    • By atush 14th Sep 17, 2:55 PM
    • 16,241 Posts
    • 9,911 Thanks
    atush
    10K?

    Way too high. I'd think it should be half that, or less.

    You need to find another IFA. And with a pot your size (or TV) id be asking to pay a set fee, not a %.
    • redginger44
    • By redginger44 14th Sep 17, 8:28 PM
    • 13 Posts
    • 4 Thanks
    redginger44
    Many thanks their brochure states they work with square mile investment consultant so assume no other options with this ifa and not had the projection yet but think I need to look at all options - FYI if you go to prudential directly their fees are much higher I need to make right decision as this my future ,,, all advice greatly appreciated
    • sandsy
    • By sandsy 15th Sep 17, 9:18 AM
    • 1,174 Posts
    • 678 Thanks
    sandsy
    £500k is a huge sum of money to most people and you should be prepared to do some legwork to find the right adviser for you. You'd spend a while choosing a new car, or a new kitchen, or deciding where to go on holiday? This is a bigger transaction than any of those. This is the difference between a comfortable retirement for the rest of your life and running out of money when you still have a few years of life ahead of you.

    The right adviser will be one you connect with based on so many things - the one you feel comfortable to ask questions of, no matter how silly the questions are, the one who explains things over and over again if needed, the one you feel is charging a fair price, the one you feel has your financial interests at heart (rather than their own).

    Don't shy away from shopping around. Pick up the phone and ask them about their services and their charges. Go and met them - several of them. Ask them how they work, check they're independent (not restricted), get a written copy of their fees (they're obliged to give it to you on request), check how they do the signoff process for confirming receipt of advice, check how they handle insistent clients. Educate yourself by continuing to read up here and other places so that you can ask the right questions.
    • xylophone
    • By xylophone 15th Sep 17, 11:13 AM
    • 22,881 Posts
    • 13,235 Thanks
    xylophone
    You must find an adviser qualified to handle this type of transaction.

    http://forums.moneysavingexpert.com/showthread.php?p=73120599#post73120599 see post 3.
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