Appropriate Pension funds for old serps contributions

bobi22

Hi all,

I am looking to transfer my old contracted out (with protected rights) NPI Serps fund pot into something more attractive.

I realise you are unable to "Advise" where to go.

I have been looking on the citywire website, looking at different funds & their performance over different timespans.

Am I correct in looking at the "ABI Funds"?

I have been unsure which sector I should be looking in; ie Balanced-managed pen, or global equities pen, or Uk-Gilt Pen etc.

As I have an occupational pension AND a personal pension already I am looking at possibly being a bit more adventurish with this, possibly to help make up the shortfall from the badly performing NPI policy.

Any suggestions where I should be looking would be helpful.

regards,
Bobi22

EdInvestor

First of all check there are no valuable guarantees attached to the NPI policy and if they are going to hit you with an exit penalty ( compare transfer vaue with current fund value).

If you want access to the best funds (the IMA ones) you may be best to move the money to a Sipp.The cheapest one for funds is at https://www.hargreaveslansdown.co.uk.

However you can't put Serps money in a Sipp until next year when the rules are changing.

Can you give some details about your existing personal pension? If that one has low charges and a decent fund selection, the easiest thing may be to transfer the money at NPI over there ( and rejig what the other money is invested in at the same time, to choose better funds.)

Which provider is it with and what funds is that money invested in now?

EdInvestor

deleted, double post

bobi22

As it is a National insurance contributions fund there is no penalty for transferring.

But, as there are protected rights with this policy I am not able legally to transfer it into my occupational pension as this is contracted in.

I am however transferring my private pension into my occupatioal pension as this will save charges, and the fund is performing better.
Thankfully, the transfer penalty from Axa (my private pens) is relatively low, only £1000 out of a pot of £37500. - its in their managed fund.
The occupational pens is with BGI Aquila fund in a range of 4 different funds.

Is there any more info on a timescale for the changes in Sipp rules & does anybody else here think that this may be the way to go??

Sounds interesting though.

regards,

EdInvestor

Sipps should be allowed to accept PR money from next April.