Pension Investment Advice

zayn

I have gone through the funds, AMC is 1% and below is what i am currently being charged for the external funds

25% Newton Managed Fund 1.161 %
25% Invesco Perpetual High Income Fund 1.190%
25% Scottish Widows Property Fund 1.955%
25% Fidelity Special Situations Fund 1.940%

I am still awaiting information from Standardlife who need to run a report against scottishwidows to see if there is any benefits in transferring my pension to them..

lentrix92

Zayn - those charges look very heavy ......

dunstonh

Remember those charges equate to the TER if you compare to the UT/OEIC version.

jamesd

Those charges look quite cheap for those funds. Significant discounts to the normal charges, which are these on full trail commission and undiscounted DIY:

Newton Managed: 1.62%
Invesco Perpetual High Income: 1.69%
Scottish Widows Property: 2.07%
Fidelity Special Situations: 1.7%

I doubt that Standard Life will be cheaper, given what I've seen of their pricing.

Fidelity Special situations is the one that you should most clearly change. It's also an indication that the place you originally used hasn't really been providing you good ongoing service, if you had purchased that from them in some way, like with trail commission (which has typically been 0.5%, charged via the fund and included in the charges disclosed to you).

You can probably get those funds more cheaply but that would depend on the total amount you have invested, it's easy to do it with larger pots, harder with smaller ones. Around 0.75% is usually possible today with larger pots and unbundled versions of funds.

richardg_ifa

jamesd wrote: »

It's also an indication that the place you originally used hasn't really been providing you good ongoing service, if you had purchased that from them in some way, like with trail commission (which has typically been 0.5%, charged via the fund and included in the charges disclosed to you).

The OP won't be getting any form of ongoing service, even if they're paying for it via 0.5% fund charge, as they stated in the first post the advice was given by Park Row Associates who no longer exist.

Would suggest discussing with a local IFA to go through their options.

zayn

Thank you, i have been given a list of Funds which i am eligible to transfer into by scottish widows. What i am really waiting for is a report from closebrothers asset management who look after the work pension for my new employer. I just need to know that

1) transferring my current pension into the work pension will be beneficial
2) reduce any unnecessary overhead such as high external fund charges..
3) Reduce my monthly tax. As i calculate now i am paying 1200 year which my employer matches giving £2400 year and additional £1800 to Scottish widows (which i will stop if i transfer my pension) . This will hopefully help with tax threshold..

Scottish Widows
Environmental
Equity
Fixed Interest
Global Equity
Indexed Stock
International
Mixed
Specialist Global Eq
Property
Consensus
European
Japanese
North American
SafetyPlus
Unitised With Profit
All Share Tracker
Fixed Int Tracker
Cash
Corporate Bond
Pension Protector
Strategic Inc Bond
High Income Bond
Ethical
Pens Portfolio One
Pens Portfolio Two
Pens Portfolio Three
Pens Portfolio Four
Defensive Solution
Cautious Solution
Discovery Solution
Balanced Solution
Strategic Solution
Dynamic Solution
Adventurous Solution
European Real Estate
Defensive Managed
Cautious Managed
Emerging Markets
MM Gbl Real Estate
UK Opportunities
UK Real Estate
Diversified Assets
Dynamic Property

External Fidelity
SW Fidelity Managed
SW Fid 50-50 Spec St
SW Fid European
SW Fid American
SW Fid Japan
SW Fid SE Asia
SW Fid Spec Sit 2006
SW Fid Global Spc St
SW Fid MoneyBuilder
SW Fid Multi Asset

External Investec
SW Inv Cautious Mgd
SW Inv American
SW Inv Global Free

External Jupiter
SW Jup Distribution
SW Jup UnderV Assets
SW Jup Income
SW Jup UK Growth

External BlackRock
SW BL Gold & Gen Fd
SW BlackRock Mgd
SW BLK UK Abs Alpha
SW BLK UK Dynamic
SW BLK UK Small Cos
SW BLK UK Spec Sit

External Newton
SW Newton Real Rtrn
SW Ntn Gl High Inc
SW Newton Managed
SW Newt Higher Inc
SW Newt Oriental
SW Newt Intnl Grth
SW Newt Intnl Bond
SW Newton Growth
SW Newton 50 50 Gbl
SW Newton Mgd Income
SW Newton UK Equity

External Henderson
SW Hendrsn Mngd Dist
SW Hendersn High Inc
SW Hendersn UK Alpha
SW Hendersn Fixd Int
SW Henderson UK Prop

External Inv Perp

SW Inv Perpetual Mgd
SW InvP High Income
SW InvP Corp Bond
SW InvP Global Bond
SW Inv Perp Distr

External Schroder
SW Schroder Managed
SW Schroder Div Gwth
SW Sch US Small Cos
SW Sch Tokyo
SW Sch UK Gilt & FI
SW Sch UK Alpha Plus
SW Sch UK Mid 250
SW Sch Gbl Property
SW Sch Inc Max
SW Sch Euro Alpha

External Artemis
SW Art UK Grth
SW Art UK Sm Cos

External Other
SW SLI GARS
SW JPM Mgd
SW JPM Caut Tot Ret
SW JPM Emerging Mkts
SW JPM Europe Dyn
SW JPM Natural Res

External Baille Gif
SW Bl Giff Mngd
SW Bl Giff Wrldwd Eq
SW Bl Giff Japanese
SW Bl Giff Nth Amer

External SSgA
SW SSgA Div Beta
SW SSgA Emer Mkts Eq
SW SSgA Gbl Eq Indx
SW SSgA Int Eq Indx
SW SSgA UK Eq Index
Sw SSgA UK Glt 15yrs
SW SSgA Asia Ex Jap
SW SSgA Europe ex UK
SW SSgA Japan Eq Ind
SW SSgA ILG over 5yr
SW SSgA ILG AllStock
SW SSgA Stlg Crp Bnd
SW SSgA Nth Amer Eq
SW SSgA Sterling Lqd

External UBS
Multi Manager Funds
Cautious Portfolio
Balanced Portfolio
Progress Portfolio
Opport'ies Portfolio
SW MM Int'l Equity
SW MM UK Eq Focus
SW MM UK Eq Income
SW MM UK Eq Growth
SW MM Diversity Pen
SW MM Select Bou P

jamesd wrote: »

Those charges look quite cheap for those funds. Significant discounts to the normal charges, which are these on full trail commission and undiscounted DIY:

Newton Managed: 1.62%
Invesco Perpetual High Income: 1.69%
Scottish Widows Property: 2.07%
Fidelity Special Situations: 1.7%

I doubt that Standard Life will be cheaper, given what I've seen of their pricing.

Fidelity Special situations is the one that you should most clearly change. It's also an indication that the place you originally used hasn't really been providing you good ongoing service, if you had purchased that from them in some way, like with trail commission (which has typically been 0.5%, charged via the fund and included in the charges disclosed to you).

You can probably get those funds more cheaply but that would depend on the total amount you have invested, it's easy to do it with larger pots, harder with smaller ones. Around 0.75% is usually possible today with larger pots and unbundled versions of funds.

Brian_Mitchell

[FONT=&quot]The Personal Pension plan [/FONT][FONT=&quot]offers you a wide and varied choice of funds in which to invest your pension payments.[/FONT]

SallyG

That breadth of choice is part of the problem - how would an IFA reduce all those funds to say 3 or 4 optimal in this case ... given that past performance is no guide?

dunstonh

SallyG wrote: »

That breadth of choice is part of the problem - how would an IFA reduce all those funds to say 3 or 4 optimal in this case ... given that past performance is no guide?

Probably would consider three ways. 1 - a bog standard portfolio fund is the investor is low knowledge and likely to be a lazy investor with no servicing. 2 - a blend of fund of funds to build a diverse portfolio with more limited servicing requirements going forward or 3 - a portfolio of single sector funds built to the sector allocation that they use for the relevant risk profile/timescale/capacity for loss.