Skandia Multifund Good Option?

Peartree

Here I am being dumb about financial matters again - blind spot unfortunately.

I have been advised by an IFA to go for an Skandia Multifund Mini ISA. With a 4.5% initial charge, etc, my gut feel was this seemed a bit expensive but what do I know?

Rest assured, tomorrow I intend to get some info from IFA on why this is a good investment for me. However, in the meantime, I thought I'd see what the opinions of the others on this forum.

Is it expensive or is it worth paying on the basis that I must accept my strengths lie outside the financial realm and I'll never be up to managing a portfolio of my own?

I have searched and looked at some of the other posts re related areas and I'd be exceptionally grateful if this does post does not divert into 'banter' on the benefits or otherwise of IFAs and similar which, I have to say, has made me give up on reading some of the other posts.

Many thanks in anticipation.

whiteflag_3

Peartree

Im an IFA. My colleague and I were looking at the Skandia Multifund this afternoon and couldnt for the life of us find any reason why we would recommend it to our clients(above some of the alternatives on offer).

( in fact we are currenttly reviewing every single Skandia product on our agency to see if our clients could get better value elsewhere)

Having recently spent an evening with some IFAS who use Skandia exclusively we began to wonder if we had missed something.

We have carried out our review and will be using other "platforms" and providers for ISA/SIPP/Pension/ Bond Investments

CAn you ask you IFA what benefits (for you) there are for using Skandia as opposed to fundsnetwork or Cofunds or even Sterling.

I await your reply with great interest

Peartree

Thank you so much, I will definitely do that. Bear with me as I can't always post regularly!

dunstonh

CAn you ask you IFA what benefits (for you) there are for using Skandia as opposed to fundsnetwork or Cofunds or even Sterling.

Whiteflag, I tend to agree with you. However, a couple of weeks ago I did a sample of funds and compared selestia, skandia and fidelity FNW on charges (you cant compare cofunds as easily due to the lack of real illustrations) and found the Skandia ISA platform gave the lowest charges over 10 years. Also, the PP5 version of their personal pension is very good on transfer values or single premiums but bloody awful on regulars.

My personal view is that Skandia were once the only way to get access to a damned good range of funds. You paid extra for it but you got the excellent fund range and some very good reporting documentation (still amongst the best available). This made them very popular and still does. However, with other companies catching up and passing them in some cases, they have got a little left behind. Perhaps some IFAs are slow to respond.

I too have all my Skandia pension contracts listed for review once the insured/hybrid SIPP products come available after "A" day. Some of these new products coming in sound superb. If all comes true to what is being said, it will kill the insurance companies investment business. Although that would explain why companies like Standard Life, Legal and General and Norwich Union are all moving into the wrap/fund supermarket side of things.

whiteflag_3

dunstonh wrote:

My personal view is that Skandia were once the only way to get access to a damned good range of funds. You paid extra for it but you got the excellent fund range and some very good reporting documentation (still amongst the best available). This made them very popular and still does. However, with other companies catching up and passing them in some cases, they have got a little left behind. Perhaps some IFAs are slow to respond.

I too have all my Skandia pension contracts listed for review once the insured/hybrid SIPP products come available after "A" day. Some of these new products coming in sound superb. If all comes true to what is being said, it will kill the insurance companies investment business. Although that would explain why companies like Standard Life, Legal and General and Norwich Union are all moving into the wrap/fund supermarket side of things.

I agree totally. But surely the public go to IFAs expecting them to be up to speed on the latest products? Isnt that what the IFA gets paid for?

What is the point of putting clients into Skandia when you (Should) know these (new)products exist or are just around the corner?