Prudential with profits:

dunstonh

I have a Pru with profits bond, not the same as a pension but run on similar principles. Since I bought it in 2002 it has averaged about 5.7% annually with no tax due which seems pretty good to me for something much safer than any equity investment.

Pru's WP fund bucks the trend. I have killed off most WP fund investments but Pru I have generally left. They have consistently performed despite the products being largely obsolete by todays standards.

srcandas

dunstonh wrote: »

Pru's WP fund bucks the trend. I have killed off most WP fund investments but Pru I have generally left. They have consistently performed despite the products being largely obsolete by todays standards.

But as you said I believe the Scottish Amicable ones behave differently to true Pru ones.

Well I've just completed the forms and despite being very specific about the need for any additional documents "I asked very slowly and clearly" (as my birth certificate is doing the rounds) and them stating no additional documents were required beyond their own forms .......................

Please enclose your birth certificate or passport

woolly_wombat

But at the end of the day the performance even allowing for guarantees is close to pathetic. 9% of something reduced by 75% is not too good.

At the end of the day you have a GAR which, as dunstonh has tried to point out to you, is incredibly valuable. I would suggest you remember the old adage "use it or lose it", and remember that Equitable Life was brought to it's knees because they failed to make adequate provision for GARs. EL policy holders who retired years ago with GARs are still in clover but those of us who followed behind were expected to pay for it with a so-called "compromise scheme" (known as a CONpromise scheme amongst those of us affected) which involved across-the-board downgrades and loss of all future GARs.

Just a suggestion!

srcandas

woolly_wombat wrote: »

At the end of the day you have a GAR ........

Just a suggestion!

So as long as you end up with something from the industry you should be grateful as others have been ripped off to a much greater extent?

woolly_wombat

srcandas wrote: »

So as long as you end up with something from the industry you should be grateful as others have been ripped off to a much greater extent?

No that's not really what I meant!

As others have pointed out you need to factor in how much that GAR is worth, i.e. how much would you need to have in another fund to achieve the annuity that you get with that valuable GAR. Depends how close you are to retirement age I guess, and the risk of further drops in the value of the fund till then.

WW