Royal London Governed portfolio range

CRAIGSVILLE

Hi all,


Anyone here have a pension with the Governed range? + GRIP's ?
Am I correct in saying the total fees with this range 1.0 % - the discount ? - no added extras? They rebalance the portfolio's each month, and I suppose it is a bit more less stressful than a DIY SIPP ?
I was originally looking at transferring my pension to a new vanguard SIPP in the future with an approx 35/65 life strategy , which would be roughly 0.22% + £375 on a £1M pension = £2575
Using RL with the discount , it would be 0.35% all in , if no extra fees are added ? = £3500
Their GRIP 3 portfolio has a near identical performance + volatlility as 35/65
I realise it is nearly £1k a year extra, but would be a bit closer once my 25% TFLS comes out.
Question is , is it worth it to do it myself through Vanguard, or through RL ?


thanks


Craig

cloud_dog

Why not just move to a fixed price platform?

CRAIGSVILLE

yep, that is my conundrum , either the Vanguard fixed fee platform + 0.22% fund fees, or the all in one % fee from RL for not much of a difference ( assuming it is just 0.35% all in ? )
Anyone use the governed range? Is it easy to use + access cash through the GRIP's ?

cloud_dog

Vanguard and RL do not offer a fixed fee platform, they are percentage based.

Il, for example, offer a fixed fee platform SIPP within which you could hold Vanguard or others funds. I'm not recommending II merely using them as an example.

Vanguard SIPP isn't available just yet, for information.

SonOf

Am I correct in saying the total fees with this range 1.0 % - the discount ? - no added extras? They rebalance the portfolio's each month, and I suppose it is a bit more less stressful than a DIY SIPP ?

It is a simple, mono charged option if you use the Governed portfolios. There is a once only drawdown fee if you drawdown in the first 12 months (but not charged if you wait 12 months)

There is also the mutual bonus which is typically around 0.15% p.a.
Plus it has 100% FSCS protection with no upper limit.

Question is , is it worth it to do it myself through Vanguard, or through RL ?

RL do not distribute direct to public. You would have to use an IFA to set it up.

CRAIGSVILLE

cloud_dog wrote: »

Vanguard and RL do not offer a fixed fee platform, they are percentage based.

Il, for example, offer a fixed fee platform SIPP within which you could hold Vanguard or others funds. I'm not recommending II merely using them as an example.

Vanguard SIPP isn't available just yet, for information.

Yep, I know they are not available for a SIPP at moment, but will be when I come to transfer.
I think they have a max fixed fee of £375 once you are over £250K
I have looked at ii also, which are comparable to Vanguard, but obviously have more funds.

CRAIGSVILLE

SonOf wrote: »

It is a simple, mono charged option if you use the Governed portfolios. There is a once only drawdown fee if you drawdown in the first 12 months (but not charged if you wait 12 months)


Thanks for that , I was hoping there was no extras, but with most t+c's , its vey hard to find

There is also the mutual bonus which is typically around 0.15% p.a.
Plus it has 100% FSCS protection with no upper limit.


Didn't know about the bonus, which is good to know :-)



RL do not distribute direct to public. You would have to use an IFA to set it up.

Ok, didn't know about this either. I would have to get an IFA to transfer my DB pension to begin with, so will see what they recommends

CRAIGSVILLE

SonOf wrote: »

It is a simple, mono charged option if you use the Governed portfolios. There is a once only drawdown fee if you drawdown in the first 12 months (but not charged if you wait 12 months)
.

So I would transfer my DB pension into a governed portfolio for 12+ months, then at 55 transfer it to the GRIP portfolio, or could I just transfer it into the GRIP 12 months b4 I start drawdown at 55 ?


Thanks

Mick70

SonOf wrote: »

RL do not distribute direct to public. You would have to use an IFA to set it up.

I know you need an IFA to set it up but do you then need to retain the IFA ?

beamyup

You could transfer to II and purchase the LS product through them for a lower cost than Vanguard SIPP.

No IFA to worry about and the product is available now, also you can then go outside of vanguard investment products if you wish and so possibly reduce your costs a little bit further.

SonOf

So I would transfer my DB pension into a governed portfolio for 12+ months, then at 55 transfer it to the GRIP portfolio, or could I just transfer it into the GRIP 12 months b4 I start drawdown at 55 ?

You could move it into the GRIP straight away. You can switch funds and GP/GRIP portfolios whenever you like without cost. It is the actual drawdown event that potentially levies that one off cost.

I know you need an IFA to set it up but do you then need to retain the IFA ?

No you dont. Indeed, as advisers, we tend to use RL for transactional clients and use alternatives that are both cheaper and better performing for ongoing advice clients.