Transfer to SIPP going wrong? Advisor still wants paid

[Deleted User]

Back it up with a call for a subject access report.
The company will produce that in (at most) half the time, and it will provide the evidence for your complaint. Also, the company will review every bit of the content, which may well prompt them to bargain.

[Deleted User]

Complaint is all good and great, but keep in mind that you are incurring further opportunity loss for every day you are sitting with 100s of k in cash and out of the market.

wjr4

Albermarle wrote: »

Probably this was a charge from the pension provider rather than the advisor.
Otherwise I agree with the others , seems a bit of a shambles for what is a simple transfer.

They still need to/should confirm that there is an exit penalty from the ceding provider.

BossHogg

The advisor has been in touch to apologize and ask if there is any way to remediate the situation. Discussed reducing fees, and other forms of compensation.
He still claims however that being out of the market is doing no harm, yet the chunk of my wife's pension that was not moved as intended to SIPP has done really well (in L&G) so I cannot see his view (unless the fund they intended to invest in has been continually getting cheaper). The whole idea was that on long term, the money would appreciate, so sitting there with £60 quarterly fees coming off plus the 4 x £72 'transfer in' charges means it has gone down £408 with nothing to cover.
I'm happy to discus options, rather than have the hassle and potential further delay.

[Deleted User]

From the company's perspective, the SAR request would be a lot of hassle, and if you or they complain to the ombudsman, the ombudsman will charge the company £500 to start with. Then a long delay (the FO seem to be snowed under) and possible compensation to follow.
Meanwhile, you are already £400 down.

wjr4

BossHogg wrote: »

The advisor has been in touch to apologize and ask if there is any way to remediate the situation. Discussed reducing fees, and other forms of compensation.
He still claims however that being out of the market is doing no harm, yet the chunk of my wife's pension that was not moved as intended to SIPP has done really well (in L&G) so I cannot see his view (unless the fund they intended to invest in has been continually getting cheaper). The whole idea was that on long term, the money would appreciate, so sitting there with £60 quarterly fees coming off plus the 4 x £72 'transfer in' charges means it has gone down £408 with nothing to cover.
I'm happy to discus options, rather than have the hassle and potential further delay.

They need to work out how much your pension would be worth if you had been invested since day 1. It isn't rocket science and can usually be calculated using FE analytics or other systems. Once they have that information, they should invest you as per the recommendation and pay for any investment loss you have suffered.

[Deleted User]

He still claims however that being out of the market is doing no harm

Incredible.

Tell him to have a look at typical stock market returns. Here is an example: https://topforeignstocks.com/wp-content/uploads/2017/06/All-Ordinaries-Accumulation-Index-returns-from-1900-to-2010.jpg

Year to date a globally diversified portfolio of stocks is up almost 20%. Bonds are up and into the double digits too.

Which planet is he from? You lost thousands of pounds thanks to them.

Slinky

wjr4 wrote: »

They need to work out how much your pension would be worth if you had been invested since day 1. It isn't rocket science and can usually be calculated using FE analytics or other systems. Once they have that information, they should invest you as per the recommendation and pay for any investment loss you have suffered.

I have a not dissimilar screw-up going on with my pension which I discovered about 3 weeks ago. At the moment they are calculating what position I should be in if they'd done what they should have been doing and say they will rectify the situation.


I'm wondering if there's any mileage for compensation or at least a refund of their fees in addition to the rectification? Mine has been wrongly administered right since the start (5 years) and I only discovered the error when comparing what was happening with my husband's account and discovered that £28K of my payments had gone missing!

fronty

Even a poorly invested pension will have gone up in the past 12 months, I should know as mine is one of those and it's gone up 7.5% (I'm currently transferring out). You can invest it yourself if you're with AJ Bell, there's been plenty of discussion recently about Vanguard LifeStrategy, HSBC Global Strategy and L&G Multi-index funds. Just saying...