Transferring into NEST

Jim-G

I have £25k in a stakeholder pension with a former employer - AMC is 0.9% - fund is medium risk.

I've just set up a NEST pension with my current employer - the AMC is 0.3% - but the transaction charge is 1.8%.

So - with 23 years before retirement I'm thinking of transferring my £25k in to the NEST - yes there will be a hit of around £450 initially - but over the years I should gain with the much lower AMC.

I can also select a more aggressive fund choice.

Is this a good idea??

Thanks

zagfles

I don't think you even pay the 1.8% charge for transfers in. See

https://www.ftadviser.com/auto-enrolment/2017/03/02/nest-reveals-pricing-for-transfers-in-and-out/

So from a charges point of view - it's a no-brainer. So if you're happy with the fund choices etc then don't see why not. NEST does get a lot of criticism but that mainly seems to come from those with a vested interest in trying to sell more expensive pensions.

Jim-G

Amazing thanks!