Pension Statement Worries

cisamcgu

With VERY rough and ready calcs, if you include the £400 per month, then your final amounts would be in the region of :

£157K (-3%)
£227K (0%)
£311K (2.5%)

I think

RichardS

Thank you all - if that's the case (that my £400 contributions are not taken into account) then I feel much better - I have just emailed my FA to confirm that. It seems pretty stupid not to take them into account though. One thing I didn't add is that this is a Discretionary Fund and I regularly (sometimes a couple of times a week) get notified of fund changes etc. Is that sort of thing worth paying higher charges for or is that what most people have anyway?

dunstonh

One thing I didn't add is that this is a Discretionary Fund and I regularly (sometimes a couple of times a week) get notified of fund changes etc. Is that sort of thing worth paying higher charges for or is that what most people have anyway?

Personally, i don't like using DFMs. It adds a layer of costs that appears to do offer little or nothing in value for the consumer. Discretionary permissions are nice. It allows changes on the fly without delay. The alternative is advisory and that means the adviser cannot change an investment fund without your permission. So, for an adviser, it is less work to use discretionary. However, advisory is perfectly fine as the adviser can talk through the changes with you rather than just do them without you knowing why.

RichardS

Thanks dunstonh - I don't think I would have the time, knowledge or confidence to handle that so I'm probably better off trusting them to make the changes they are making (I suppose!)

RichardS

I got an apologetic reply from my FA because they had left out my contributions. The new Projections are £158K (LOW), £219K (MID) and £304K (HIGH).

Slightly higher than cisamcgu predicted in LOW but a bit less in MID and HIGH