Can I manage my own pension?

Financial_Saddler

zagfles wrote: »

I hope most IFAs check their facts a bit better

7 years ago the FTSE100 was 5888. Now it's 6483.

It does seem a bit of an inaccurate statement!
In any case, I would have thought that the FTSE100 Total Return Index would be more relevant ( and illuminating ) - that is up over 40% in the last 7 years.

jamesd

Where is the money currently invested? Which funds? Has that changed much over the years? What was it in during early 2008, late 2008 and early to mid 2009? What risk tolerance did you tell the IFA you had?

dunstonh

It does seem a bit of an inaccurate statement!

I said "economic situation that occurred in those 7 years". It was a bit of rounding but that 7 year period contained one of the worst economic events (or cascade of events) since the 30s. My error was quickly moving on to say the FTSE was lower than it was 7 years ago. It is lower than it was in 2007 (which is 6 years). It is in the same ballpark as 7 years ago. Despite that, the intention of my post was obvious and clearly the events that did occur in that 7 year period had more of an impact on returns than anything else.

tyllwyd

jamesd wrote: »

Where is the money currently invested? Which funds? Has that changed much over the years? What was it in during early 2008, late 2008 and early to mid 2009? What risk tolerance did you tell the IFA you had?

Well, the money started off here:

SK Baring Eastern Europe
SK Baring European Grth
Invesco Perp Income
Invesco Perp Japan
First State Asia Pac Ldrs
Investec Global Energy
Henderson Euro Smaller Cos
Merrill Lynch Gold and General
New Star Property
SWIP European Real Estate
JPM Cautious Total Return
Schroder Global Property Secs

As you can see that was quite a lot in property which then crashed, so it was moved out of that in 2009, but otherwise a very similar list until Spring 2012.

Now it's:

Index Cautious
Index Linked Gilts Index
SK Allianz Gilt Yield
SK Fidelity Japan Smaller Cos
SK Investec Emerging Lcl Cny D
SK JPM Global High Yield Bond
SK Jupiter India Fund
SK Kames High Yield Bond
SK M&G Corporate Bond
SK M&G Intl Sovereign Bond
SK M&G UK Inflat Lnkd Corp Bnd
SK OM Blackrock Gold & General

As an investor, I'd say my profile was medium tending to high risk - I know this isn't enough money to give a decent income in retirement so I don't want it to just sit there doing nothing, and that's what I'm worried it might be doing.

dunstonh

I would consider another adviser or DIY. This one is chasing returns and you shouldnt do that.

zagfles

dunstonh wrote: »

I said "economic situation that occurred in those 7 years". It was a bit of rounding but that 7 year period contained one of the worst economic events (or cascade of events) since the 30s. My error was quickly moving on to say the FTSE was lower than it was 7 years ago. It is lower than it was in 2007 (which is 6 years). It is in the same ballpark as 7 years ago. Despite that, the intention of my post was obvious and clearly the events that did occur in that 7 year period had more of an impact on returns than anything else.

:rotfl:When you're in a hole...

The FTSE100 is higher than it was 6 years ago too. It is also higher than it was for most of 2007.

The OP invested 7 years ago, so what the stock market did in the intervening years is irrelavent. And as per Financial Saddler's post, the total return (ie inc diviends) is more relevant and that's up 40%.

IronWolf

tyllwyd wrote: »

Well, the money started off here:

SK Baring Eastern Europe
SK Baring European Grth
Invesco Perp Income
Invesco Perp Japan
First State Asia Pac Ldrs
Investec Global Energy
Henderson Euro Smaller Cos
Merrill Lynch Gold and General
New Star Property
SWIP European Real Estate
JPM Cautious Total Return
Schroder Global Property Secs

As you can see that was quite a lot in property which then crashed, so it was moved out of that in 2009, but otherwise a very similar list until Spring 2012.

Now it's:

Index Cautious
Index Linked Gilts Index
SK Allianz Gilt Yield
SK Fidelity Japan Smaller Cos
SK Investec Emerging Lcl Cny D
SK JPM Global High Yield Bond
SK Jupiter India Fund
SK Kames High Yield Bond
SK M&G Corporate Bond
SK M&G Intl Sovereign Bond
SK M&G UK Inflat Lnkd Corp Bnd
SK OM Blackrock Gold & General

As an investor, I'd say my profile was medium tending to high risk - I know this isn't enough money to give a decent income in retirement so I don't want it to just sit there doing nothing, and that's what I'm worried it might be doing.

Oh dear. Thats a lot of bond funds, at a time when bonds are at historic highs due to the interest rate environment.

I think you should be more heavily weighted to equities

EdGasket

To answer the OP:
Yes you can manage your own pension, it's called a SIPP.
You would open an account with someone like Sippdeal and then transfer your pension into Sippdeal from Skandia. There are no charges whatsoever except for any share or fund purchases you make. have a look at iShares exchange traded funds (ETF's) for what to invest in. You'd probably do just as well with their FTSE tracker ISF or their income fund IUKD and save on your IFA and fund fees. Good luck.

dunstonh

You'd probably do just as well with their FTSE tracker ISF or their income fund IUKD and save on your IFA and fund fees.

Although that would increase the risk level above what Tyllwyd indicates they are. It is important that a common DIY error is not made by investing above risk profile.

EdGasket

Well I'd say being heavily invested in bond funds right now is also 'above risk profile'. What is OP's IFA thinking of??