Changing platforms for various investments

Mistermeaner

Quick sense check on choice of platforms for various investments for me and family ; appreciate any comments or if this looks a sensible plan ;

kids SIPPs , approx 3k in each , paying 50quid a month invested in VLS100 with Hargreaves lansdown - ACTION leave where they are as no other providers offering SIPPs for under 18s

kids cash ISAs , not actively paying in , 2.5% interest with nationwide - ACTION leave where is good interest rate on cash 

mrs pension , value 80k she not working so pay in 2880 per annum, currently with Hargreaves lansdown invested in VLS100 - ACTION move to vanguard SIPP for lower fees

my old work pension value 320k with scottish widows, not  actively paying in - ACTION transfer to IWeb and VLS100 to benefit from lower fees (won’t be adding to this as will have another active workplace pension)

mine and mrs LISA (values approx 10k each, maxing out each year) both invested in VLS100 with Hargreaves lansdown ACTION Leave where is as no other providers offering S&S LISAs with decent fund choice 

thanks 

dunstonh

kids SIPPs , approx 3k in each , paying 50quid a month invested in VLS100 with Hargreaves lansdown - ACTION leave where they are as no other providers offering SIPPs for under 18s

There is no such thing as a children's SIPP.  That is just marketing by a certain provider.   Children, from the day they are born can have any stakeholder pension, personal pension or SIPP.      

mrs pension , value 80k she not working so pay in 2880 per annum, currently with Hargreaves lansdown invested in VLS100 - ACTION move to vanguard SIPP for lower fees

However, that action may cost you more in the short term than you save.   I believe Vanguard is not accepting in-specie transfers.  If so, that would mean a cash transfer is required.  HL, in our experience of doing transfers away from them, are not the fastest.  So, she could be out of the market for a week or maybe two.   During periods of high volatility, she could miss percentage gains greater than the cost difference which could take a decade to recover.  Leaving it with HL may be cheaper overall or maybe consider other whole of market providers that offer inspecie transfers.

green_man

Mistermeaner said:

kids SIPPs , approx 3k in each , paying 50quid a month invested in VLS100 with Hargreaves lansdown - ACTION leave where they are as no other providers offering SIPPs for under 18s

You might want to check this.  My 14yr olds ISA with Nationwide has just had the rate reduced from 3% to 1%.  Nationwide has recently slashed rates across the board and if you haven’t been informed yet I suspect It won’t be long.  To be fair its likely that most accounts will have had or shortly will have rates cut.

Mistermeaner

dunstonh said:

kids SIPPs , approx 3k in each , paying 50quid a month invested in VLS100 with Hargreaves lansdown - ACTION leave where they are as no other providers offering SIPPs for under 18s

There is no such thing as a children's SIPP.  That is just marketing by a certain provider.   Children, from the day they are born can have any stakeholder pension, personal pension or SIPP.      

mrs pension , value 80k she not working so pay in 2880 per annum, currently with Hargreaves lansdown invested in VLS100 - ACTION move to vanguard SIPP for lower fees

However, that action may cost you more in the short term than you save.   I believe Vanguard is not accepting in-specie transfers.  If so, that would mean a cash transfer is required.  HL, in our experience of doing transfers away from them, are not the fastest.  So, she could be out of the market for a week or maybe two.   During periods of high volatility, she could miss percentage gains greater than the cost difference which could take a decade to recover.  Leaving it with HL may be cheaper overall or maybe consider other whole of market providers that offer inspecie transfers.

ref the childres SIPPs - I understand this is not a specific product but in my very limited experience I only found HL that were willing to set one up for an under 18 - is there anyone else you should recommend (very low value - we're paying in £50/month for each of our 4 kids)

Ref the possible transfer of my missus pension away from HL to save fee's.... I read a post from you (I think) in another thread saying that you don't think volatility is too bad at the moment and not to be put off doing transfers... has your view changed? 
Further to this I appreciate there is a downside risk of being out of the market for a short time but presume there is also an equal and opposite upside risk... and does this risk ever go away? If the objective of moving is to reduce fee's surely sooner the better otherwise one is simply paying higher fees for longer (and increasing as pot value increases) - not doubting your expertise just seeking to improve my understanding


Thanks

AnotherJoe

Have you already maxed out JISA's?

Mistermeaner

AnotherJoe said:

Have you already maxed out JISA's?

No ; we paid into them for the 2 oldest (as Trust funds) then converted to JISAs when that was possible but see no benefit in having JISAs for all the kids - better to just have ISAs in our names and protect them from themselves

the pensions for them are to hopefully give them a little start but most importantly encourage early investment from them by demonstrating the benefit etc 

Albermarle

Further to this I appreciate there is a downside risk of being out of the market for a short time but presume there is also an equal and opposite upside risk... and does this risk ever go away?

There seems to a general nervousness amongst many investors about being 'out of the market ' for a few days .

However you are correct it is a 50:50 chance that it could go either way.

dunstonh

ref the childres SIPPs - I understand this is not a specific product but in my very limited experience I only found HL that were willing to set one up for an under 18 - is there anyone else you should recommend (very low value - we're paying in £50/month for each of our 4 kids)

Virtually all other providers will do it.  Some SIPP providers may restrict.    Personally, we tend to use stakeholder pensions with children as they are simple and dont leave the child with something complicated when they are 18 and the pension administration is passed to them instead of parent/guardian.

Ref the possible transfer of my missus pension away from HL to save fee's.... I read a post from you (I think) in another thread saying that you don't think volatility is too bad at the moment and not to be put off doing transfers... has your view changed?

We did a couple a few weeks back which we had on hold.  However, the investments they were in were not the same.    If it was to move from the same investments but different platform, we would use inspecie.  If it was cash transfer then you need to pick your time.  Market volatilty has picked up in the last week.

Further to this I appreciate there is a downside risk of being out of the market for a short time but presume there is also an equal and opposite upside risk... and does this risk ever go away?

It doesnt. But with markets moving 2% a day, a few days out could be very costly if you are just looking at 0.0x% differences.

Mistermeaner

Thanks all - very helpful 

Mistermeaner

Hi 
Just wondering if any one has any thoughts on current market volatility and the risk changing sipp provides (via cash transfrr)
Since original post my various holding which has taken a massive battering are now pretty much recovered (albeit not fully) using wonderful hindsight if I had been out of the market for a while pending cash transfer i would have potentially missed this part of recovery 
I'm still minded to switch to save charges but mindful of minimising out of market risk

Albermarle

Just wondering if any one has any thoughts on current market volatility and the risk changing sipp provides (via cash transfrr)

If anybody knew that , they would be very rich as they could see into the future. As said already its a 50:50 call .