Pension advice 29 years old dormant

dorrellm

I am assuming unit trust are for instance jupiter investment fund i.e. its the name of the manager who invests in different specified areas with my money

margaretclare

dorrellm wrote: »

I am assuming unit trust are for instance jupiter investment fund i.e. its the name of the manager who invests in different specified areas with my money

Yes, that's what they are. The idea is, money is spread over a bigger area rather than buying individual shares and running more risk that way.

Annisele

It's very difficult to just slap a label on a fund ("low risk", "high risk", whatever) and have your label completely describe the fund.

For example, my own personal opinion is that in the context of a 29-year-old's pension, cash is one of the highest risk investments there is. That's because a cash fund is pretty much guaranteed to lose money in real terms before said 29-year-old retires.

For a 64-year-old, I'd happily stick a "low risk" label on a cash fund.

With my pension investments, I don't have a growth target of x% per year. I hope that, over the long term, they will just about keep pace with / slightly exceed inflation. In other words, if inflation is 10% then I'd be miserable with a return of 8%; if inflation was 5% I'd be very happy with an 8% return.

dorrellm

Unit trusts i take it i can use in a sipp with hargreaves lansdown as such would the cost to me over the long term not be cheaper than paying standard life 1%

margaretclare

dorrellm wrote: »

Unit trusts i take it i can use in a sipp with hargreaves lansdown as such would the cost to me over the long term not be cheaper than paying standard life 1%

Yes, you can use them in a SIPP with H-L.

I can't comment on the comparative long-term costs. I just don't know.

dorrellm

Thank you annisele i agree with you that just makes sense i wish my financial advisor that i had in the past which got paid by my company had put as much effort in expaining these things anyway off the rant

i will look at the hargreaves lansdown pension stuff and see what i feel is the best whether to stick with standard life or change it and what funds i will change

dorrellm

Just looking at the sipp with h & l i do not see why i am paying standard life 1% when i can just move to a sipp and pay nothing. I do not believe i get any for being with standard life i do not get any advice from then can anyone help on this what is the point of me paying standard life

dunstonh

If you are going to select individual sector funds then you need to be prepared to give the investments regular reviews and rebalancing and decide what sort of investment strategy you are going to use. Random hit and hopes will result in lower returns over the long run bar some unlikely random bit of good luck.

Just looking at the sipp with h & l i do not see why i am paying standard life 1% when i can just move to a sipp and pay nothing.

What makes you think you are paying nothing. The majority of the funds on the HL platform are 50-100% greater in cost than SL.

I do not believe i get any for being with standard life i do not get any advice from then can anyone help on this what is the point of me paying standard life

You are not going to get advice from HL either but they keep the IFA commission for providing ongoing advice.

I'm not saying the pension you have is the best choice (its not) but I am not convinced that HL will be the best choice for you either. A SIPP is for experienced investors that know what they are doing and are active in their investment management. It can be an expensive folly for those that don't know what they are doing.

dorrellm

dunston thanks for your reply and the advice you said

I'm not saying the pension you have is the best choice (its not)

Why is this what do you believe is the best choice and why

dunstonh

dorrellm wrote: »

dunston thanks for your reply and the advice you said

I'm not saying the pension you have is the best choice (its not)

Why is this what do you believe is the best choice and why

The Standard Life pensions (with the exception of some of their group schemes) are easily beaten on price, quality and options from other providers. So, if you wont lowest price, someone will be better than SL. If you want greater investment choice, someone will be better than SL, if you want features and options then someone will be better than SL. They are not a good compromise/middle ground option either as others are better there as well.