Can financial advisor move my pension?

beesmax

sandsy wrote: »

So it sounds like you need to pay him for the research and advice. However, as you never agreed to the transfer, it sounds like you need to dispute that part of the bill, raising a formal complaint with the company if required.

Additionally, you should tell the new provider that you wish to cancel the ongoing adviser charge and make clear to your adviser that you are not contracting for ongoing advice services with him.

You're absolutely right sandsy. Thanks for this advice. I'll contact him tomorrow to let him know.

Malthusian

How much was the fee for the research and advice?

Has the adviser given any explanation for why he thought you'd authorised him to begin the transfer? Any adviser with any integrity would be absolutely mortified to find they'd transferred their client's funds without their permission.

Unless the OP has completely got the wrong end of the stick - and the only scenario I can imagine where the adviser is in the right involves the OP having prolonged blackouts - I would expect a grovelling apology. For starters.

In the old days this most certainly wouldn't have been possible without the OP signing pension transfer forms for his existing pensions. Which would have been clearly labelled as such and not mistakeable for a letter of authority. That said, in the modern era of online applications and Origo, I guess it's possible.

Bigmatt0811

Having read the whole of this thread and the answers I think the following has happened:

Client has signed at least LOA's so the IFA/FA can obtain the details of the ceding plans (where they were held)

If what the OP has said is correct and that she has asked for time in considering the recommendation but the IFA/FA has gone ahead and completed the transfer without the clients consent then the IFA/FA is in the wrong and a complaint is 100% justified at which point the client should have the option of being put back in a position before the transfer went through - if an initial advice fee has been taken from the fund then this would have to be repaid to the fund. The ceding scheme does not have accept back the original transfer and if they refuse then more than likely the receiving scheme will hold it in cash to not risk the funds dropping until an agreed investment strategy is put in place.

The 0.5% fee will be an annual fee but it is described as paid monthly - so foe example if the fund was £100,000 the 0.5% fee would be £500 per annum paid every month so approximately - however that fee is based on the fund value at the time the payment is made - it is approximately 0.042% of the fund each month. A pension provider would not allow a 6% per annum on going service charge to be paid - even if the adviser said it had been agreed!

The adviser cannot do what he wants with your money, i.e. change funds when ever he wants as for this he would need his own discretionary permissions and very few advisers have their own permissions - any funds switches - change of strategy have to be agreed with the client every time he wants to do this. Only 2 exceptions are if the fund is being looked after by a DFM or the funds can change if it is a form of managed portfolio service. But your money cannot be moved around willy nilly!

Are you liable for any fee so far? This is purely dependent on what his Terms of Business/Client Agreement / Fee Agreement say - without seeing a copy along with a copy of the Suitability Report it is difficult to say on this.

Linton wrote: »

I am a little surprised at your statement that the adviser (FA or IFA?) gets 0.5% annually (0.5% monthly is 6%/year!) from the platform. The highest total DIY platform charge is HL at 0.45% so presumably you are claiming that the platform is charging you significantly more than this in total.

Pension_Geek wrote: »

I would have thought this is an ongoing adviser fee paid by the platform (but not necessarily required). Not out of the ordinary. What the client gets for that is something between them and their adviser.

There are a number of fees in any transactions:
Platform fee - what the platform charges to be used
Fund Fee - the cost of the funds
On Going Adviser Fee - agreed with and paid by the client - normally out of the fund so the client is not billed directly each month

OP/Beeswax - If you are not happy then you have the right to complain - his Terms of Business / Client Agreement, HAS to have an address to complain to. Avoid the adviser and go direct to the complaints dept - if you are not satisfied from there then you can take the complaint to the Financial Ombudsman Service.

All is not lost!

dunstonh

Whilst Origo means that discharge forms are not required, most platforms require a declaration to be signed and often an adviser fee authorisation. The adviser themselves would need a fee agreement signed (covering initial and ongoing).

Only Aegon Retirement Choices comes to mind as a provider that requires no signatures at all.

The LOA is normal and totally expected. That part is ok.

It would help to know who the provider it has been placed with as there are enough of us here with experience of a wide range of provider to know their process.