AVC Investment Returns

stevenhco

Hi - I paid money into my then employers AVC scheme in the mid 90's. I left their employ in 1999 and evry year (6 months after the renewal date) they send a statement of what I might expect the AVC to pay when I retire. For the last few years it has shown an increase in value of 0.5%! Seems that the co invested in a "with profits" scheme that has now closed. Tried contacting the old employers - they sent me to Scottish Life - who in turn sent me back to the employer Trustees! Seems they can't give me financial advice. tried to withdraw it into a SIPP but they refused unless I took preserved final salary pension pot with it?

Does the ex employer have any rsponsibility to maintain my AVC in a competative investment? Thanks Stevenhco

dunstonh

Tried contacting the old employers - they sent me to Scottish Life - who in turn sent me back to the employer Trustees!

Are you sure Scot Life sent you back to the trustees? They would normally send you back to the administrators of the scheme.

Seems they can't give me financial advice.

Like most providers, they no longer have authorisation to give advice.

tried to withdraw it into a SIPP but they refused unless I took preserved final salary pension pot with it?

Correct. Whilst the link rule no longer is mandatory, many schemes have yet to amend their rules to allow it.

Does the ex employer have any rsponsibility to maintain my AVC in a competative investment?

No, the investment choice is one between you and your IFA (if you choose to use one).