Pension Planning...

justme111

on reading your thread the first advisor comes across as not honest - not stressing that 2k is for analysis only and then implementation would be 5 k. I would not go with them just because of it even if fhey were not more expensive.

bigalxyz

dunstonh wrote: »

That is cheap.

Well...I haven't found anything cheaper (and I suspect I won't) so in a sense you are correct! Will try to speak to him to discuss in more detail later this week.

bigalxyz

justme111 wrote: »

on reading your thread the first advisor comes across as not honest - not stressing that 2k is for analysis only and then implementation would be 5 k. I would not go with them just because of it even if fhey were not more expensive.

Yeah I did feel a little bit irked by that. He gave up the full pricing info but not without being pressed a bit, which was disappointing.

Peter314

bigalxyz wrote: »

Update: have found an IFA offering to advise on my 3 DB schemes for a total fee of £3,000. No obligation to then have him manage things thereafter - quite happy to see me set up my own SIPP if transfers are deemed worthwhile. Progress, perhaps...(still not cheap though!).

What if your IFA advises that the transfers are not worthwhile? If you choose to go ahead and do it anyway, will they be prepared to sign something to say that they have given you advice?

bigalxyz

Peter314 wrote: »

What if your IFA advises that the transfers are not worthwhile? If you choose to go ahead and do it anyway, will they be prepared to sign something to say that they have given you advice?

Unsure at this stage but I'm hoping to speak to him a few days and this is something I'll be asking him about.

Blackbeard_of_Perranporth

bigalxyz wrote: »

Well...I haven't found anything cheaper (and I suspect I won't) so in a sense you are correct! Will try to speak to him to discuss in more detail later this week.

I will give you something that is free about your DB scams. Leave them where they are and I'll take your £2,000!


My SIPP that I run is growing with contributions and market related performance. It moves daily. At the beginning of February it went on a slide, yet I bated my breathe. Today it has regained most of its losses for that correction. can you bear to do this?


Also, some adviser when he presented his skill to me, told me that every year I should equalise my funds! My funds drift during the year by around 10% against each other, yet today, one pension is within 1% of each fund as per payment. The side running ISA has one fund last year that has well performed, and two that since February this year under performed, I have kept them running, as overall, the three funds have grown around 9% this year. Can you bear to do this as well?


If you are not prepared to play the market for the long term pension wise, then ... pay for advise, and it will not come cheap!

lisyloo

pay for advise, and it will not come cheap!

I pay 0.5% and get institutional rates on charges, so it doesn't have to be expensive.
I get a review every 3 months and ad-hoc if required.

I am very happy to pay 0.5% as the gains could be higher but more importantly the diversification (that I could not provide) provides a great deal of safety.
As my SIPP is diversified worldwide then it falls less dramatically when events hit a a certain country or region and if sterling falls some regions may fall but some will benefit.
It would be very difficult for an individual to replicate the knowledge worldwide.

Blackbeard_of_Perranporth

lisyloo wrote: »

As my SIPP is diversified worldwide then it falls less dramatically when events hit a a certain country or region and if sterling falls some regions may fall but some will benefit.
It would be very difficult for an individual to replicate the knowledge worldwide.

Most funds have a breadth of stocks and bonds. The fund managers run these quite well for me, and I read the paper to get suggestions. I don't change at some scammers whim!


The last adviser to me suggested I should equalise my funds every year! Guess what, I have not done so. My main pension still varies from 10% divergence to 1% over the years. I have only see growth in negative amounts in 1987 and 2008, which were regained some months later. Not once have I considered cutting and running.


As for my ISA, the divergence this year is a bit sharper than normal, but overall, this years top fund maybe next years under performer, yet I do not rush to put my money into the favourite, forsaking the mix.


Each to their own, and each has a differing financial obligation to use their funds for. Myself, I was stung by an endowment that failed, and I now take £20 a quarter and place bets, it provides more fun, sometimes I win and get a meal out and it is a far more exciting that lining the pocket of the insurance company!

lisyloo

Each to their own

Agreed.
I prefer not to have to worry about it at all in the same way that I prefer not to service my car. It's all down to how you want to spend your time.
I know that many people really HATE deally with finances and lose out as a result of doing nothing. Those people would benefit from paying someone else to do it rather than neglecting it completely.
Lining someone else's pocket can sometimes be worthwhile. It depends what the likely alternative is. Doing it yourself requires constant vigilence and only people who actually enjoy it are going to keep that up effectively.