Transferring a Defined Benefit Fund

jojororo

Wow, this thread has moved on somewhat since I last looked.

Glad to see I'm not alone in my views that this whole thing is one big rip off for IFA's who have spotted a goldmine in some poorly thought out legislation.

If I want to move my DB Fund then I should be able to without having to cough up in excess of £2k just for a short consultation and feeding some figures into a spreadsheet. Especially when I know the answer before I even start.

Surely there must be some IFA's out there who would do this for a more reasonable fee ?

davide691

@jojororo - PM me for the guy I used

@atush - like I’d allow an IFA to charge me a fee based on the size of my portfolio!

@dunstonh - spare me the abuse, please

Credit-Crunched

TH1878 wrote: »

I will respond later but where did I mention portfolio construction?

By the way, you are not more qualified - the designation after my name reads FPFS and is soon to read MSc (Financial Planning)

Congrats on the qualification, I'm proud of you. You'll have loads of letters after your name now! better order some new business cards!

Some one clearly has some issues with being challenged on their intellectual ability! I will stop now, as I am upsetting you, for which I apologise.

I did not mention that I was more qualifies, merely that I was a 'Fellow' when I left financial services, thus, me commenting on something I know nothing about, is highly inaccurate.

I was replying to your comment "I'm a Chartered Financial Planner"

TH1878

Credit-Crunched wrote: »

Congrats on the qualification, I'm proud of you. You'll have loads of letters after your name now! better order some new business cards!

Some one clearly has some issues with being challenged on their intellectual ability! I will stop now, as I am upsetting you, for which I apologise.

I did not mention that I was more qualifies, merely that I was a 'Fellow' when I left financial services, thus, me commenting on something I know nothing about, is highly inaccurate.

I was replying to your comment "I'm a Chartered Financial Planner"

Which I am.. FPFS doesn't mean much to most people.

So where did I mention portfolio construction? (clue : I didn't)

Credit-Crunched

TH1878 wrote: »

Which I am.. FPFS doesn't mean much to most people.

So where did I mention portfolio construction? (clue : I didn't)

Just googled your most recent qualification, well done on that one!

What's next hairdressing!

:rotfl:

TH1878

Credit-Crunched wrote: »

Touched a nerve there have I not, I will steal Plato's quote

“Wise men speak because they have something to say; fools because they have to say something.”

I am not seething, quite the contrary, mildy amused at your over exaggeration of the work involved in portfolio modelling.

The fact that you thought I was talking about portfolio modelling just shows me that you clearly do not have any knowledge of lifelong cashflow planning, which is what I described, so you clearly have no knowledge of how long a properly constructed plan takes.

something you clearly have no knowledge of.

I refer you to an earlier thread:

https://forums.moneysavingexpert.com/discussion/comment/51077035#Comment_51077035

Full AF qualifications obtained, So i am well aware of portfolio modelling, Stochastic portfolio theory and all associated betas, sharps, alphas, co variances and other associated mathematical modelling tools.

Again, I'll refer you to an earlier thread from 3 years ago.

https://forums.moneysavingexpert.com/discussion/comment/51069693#Comment_51069693

I ran advisory portfolios from 2008 to 2014 before selling my business and currently sit on our (DFM) Investment Committee so I know a bit about portfolio construction - I also now believe it to be the least important part of financial planning.

I also realise that portfolio construction is easily modelled with simple to use software, simple entry, risk input, desired income, if any, and press a button.

You'll see in my original post, I wrote "Research of a suitable provider and investment strategy : 1-2 hours". That is the portfolio modelling - the least important part.

I am not questioning the length of the reports, I get that, it is a arduous process, but don't eek the maximum out of every aspect of the job, it makes you look silly.

No, you're questioning something that you don't actually have any experience of. The fact that you thought I was talking about portfolio construction amuses me - magnificently proving my point.

xylophone

I am not questioning the length of the reports, I get that, it is a arduous process, but don't eek the maximum out of every aspect of the job, it makes you look silly.

Modelling the worst case scenario?:)

http://www.thefreedictionary.com/eke

PennyForThem_2

atush wrote: »

They need to cover their ar*e from you claiming against them.

Their Ar*e is hanging out to the tune of the size of your portfolio.

Absolutely true. As it happened I did ask a IFA but they asked for a letter saying that and I suspect that never checked. My letter was a basic word doc saying yes, done that.

TH1878

agarnett wrote: »

Forgive me, but that does rather sound like a spiel in a prospectus - you know, sort of hifalutin arm-waving? I am not quite sure what you mean about working too long unless you are really talking about someone who doesn't enjoy work and is under an illusion they can't afford to stop before they drop!

That's exactly what I'm talking about. Specifically, I work with high net worth business owners, many of whom don't like working in their business any more.

We map out their financial future taking into account what they want to do and let them know their number. They then know how much they need to sell their business for. It's more involved than that (we start planning around 5 years out to ensure they pay minimal future income tax) but that is, in essence, what I do.

I don't doubt you are committed to putting what you summarise into practice, but are you able to give us any anecdotal examples you feel good about where you've had the satisfaction of seeing your plans making a lasting interesting difference (over a period of years) so readers might really get atune to the robustness of planning and good advice available from one of your reports and other specialists' reports like them ?

Exactly the example above. We had a business owner who had an offer of £4m for her business (that she hated working in) that she'd rejected as she thought it was worth around £6m. We modelled her future out and showed her that 'her number' was around £3m in top of what she already had - she went back to them and fortunately was able to secure the original offer. The alternative for her was to carry on in a business she hated so what price can you put on giving her 4 or 5 years more leisure time before she dies (happens to us all)?

I accept that most people won't be in the same financial bracket as most of my clients but the idea is scaleable down to people with assets of around £300k. Below that level, people would just be better saving or investing the fees that they'd be paying us - we couldn't add enough value to justify the fees

I am also interested in whether, as part of your reporting, you ever audit what the pension providers have been doing over the history of the various contracts and offer advice to clients on what they might get improved by challenging rather than changing, or indeed do you ever do part of the challenging?

The choice of pension providers is secondary to helping the clients live the lifestyle they want to live.

chiefie

This thread is very enjoyable. I have o level pottery👍