We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
Advice wanted please - Sipp/workplace pension
![[Deleted User]](https://us-noi.v-cdn.net/6031891/uploads/defaultavatar/nFA7H6UNOO0N5.jpg)
I have 3 workplace pension in total. 2 of them are from my previous employers and I no longer contributing into them.
The first one is with Fidelity and as far as I can see it is currently investing in Fid Diversified Markets Pension Fd Cl 12. My pension pot is very small (roughly £4500) and the curreent rate of return with this pension - 6%....
My second pension is with Standard life. Total plan value is about £1500 and currently earning £30 from the Flexible Retirement Plan.
Currently I am thinking to open a Sipp account or a Stock & Share ISA account to start investing. But I am a complete newbie in Sipp/Fund&stock investing and any advice would be greatly appreciated!! And I would be grateful if someone please shed some lights regarding whether or not I should transfer my old pensions into Sipp (If I have one) so I have more to invest. Thank you!!
Comments
-
But I am a complete newbie in Sipp/Fund&stock investing and any advice would be greatly appreciated!!
Advice is a regulated activity. Opinion and discussion is all that takes place here. Not advice. And note, sometimes what you read here is complete and utter rubbish and other times really useful (same as any discussion site - you have helpful people and trolls and you have a lot of differences of opinion).
SIPPs are the most advanced pension option. There are hardly any safeguards preventing you from making mistakes (unlike stakeholder pensions, personal pensions and master trust schemes - such as robo providers and workplace pensions). So, you need to be careful as whilst there is no one best way to invest, there are plenty of ways to make a right mess of it.
And I would be grateful if someone please shed some lights regarding whether or not I should transfer my old pensions into SippYou need to analyse the existing plans and compare them to alternative plans and decide which is best. There is no easy answer to give you here as we dont have the details on the plans.
It would be easier to tell us what you have researched so far and why you think that would be a good idea. We can then tell you why it isn't.
I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.1 -
Most SIPPs offer thousands of different investments , including funds , ETF's , individual shares , Investment trusts etc .
As you probably have little idea what I am talking about then this means a SIPP is unnecessarily complicated for you .
Your two older pensions will most likely still be happy for you to make contributions to them , and of course you can just add more to your current workplace pension. Can you say who is providing your current workplace pension and what fund it is invested in ?
But I am a complete newbie in Sipp/Fund&stock investing
As you have three pensions that are all already invested in funds , then you are already an investor . So best to look at and try to understand what you have already.https://www.moneysavingexpert.com/savings/investment-beginners/
1 -
Thank you very much for sharing your knowledge on Sipps with me! I really very appreciate it!dunstonh said:But I am a complete newbie in Sipp/Fund&stock investing and any advice would be greatly appreciated!!Advice is a regulated activity. Opinion and discussion is all that takes place here. Not advice. And note, sometimes what you read here is complete and utter rubbish and other times really useful (same as any discussion site - you have helpful people and trolls and you have a lot of differences of opinion).
SIPPs are the most advanced pension option. There are hardly any safeguards preventing you from making mistakes (unlike stakeholder pensions, personal pensions and master trust schemes - such as robo providers and workplace pensions). So, you need to be careful as whilst there is no one best way to invest, there are plenty of ways to make a right mess of it.
And I would be grateful if someone please shed some lights regarding whether or not I should transfer my old pensions into SippYou need to analyse the existing plans and compare them to alternative plans and decide which is best. There is no easy answer to give you here as we dont have the details on the plans.
It would be easier to tell us what you have researched so far and why you think that would be a good idea. We can then tell you why it isn't.
As mentioned above, one of my pension is currently generating -6% rate of return and as I recall, it did not really perform well pre-covid too.
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C. I like the idea of the global multi asset funds for easiness as well as due to my lack of knowledge in investing. I will probaby just pick one or two funds and then leave them untouched for at least 10+ years apart from making some contributions (just one or twice a year).
Yep you're absolotely right! To be honest I have zero ideas of funds , ETF's , individual shares , Investment trusts etc. HaHa....Albermarle said:Most SIPPs offer thousands of different investments , including funds , ETF's , individual shares , Investment trusts etc .
As you probably have little idea what I am talking about then this means a SIPP is unnecessarily complicated for you .
Your two older pensions will most likely still be happy for you to make contributions to them , and of course you can just add more to your current workplace pension. Can you say who is providing your current workplace pension and what fund it is invested in ?
But I am a complete newbie in Sipp/Fund&stock investing
As you have three pensions that are all already invested in funds , then you are already an investor . So best to look at and try to understand what you have already.https://www.moneysavingexpert.com/savings/investment-beginners/
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in, but as long as my employer is also contributing, I'm happy.
I'd try to contact my pension providers asking if I can make further contributions. Thank you!!!
0 -
Don't just be happy that your employer is contributing as well, take a bit of time to look at what you are invested in and learn a bit about the topic.[Deleted User] said:
Thank you very much for sharing your knowledge on Sipps with me! I really very appreciate it!dunstonh said:But I am a complete newbie in Sipp/Fund&stock investing and any advice would be greatly appreciated!!Advice is a regulated activity. Opinion and discussion is all that takes place here. Not advice. And note, sometimes what you read here is complete and utter rubbish and other times really useful (same as any discussion site - you have helpful people and trolls and you have a lot of differences of opinion).
SIPPs are the most advanced pension option. There are hardly any safeguards preventing you from making mistakes (unlike stakeholder pensions, personal pensions and master trust schemes - such as robo providers and workplace pensions). So, you need to be careful as whilst there is no one best way to invest, there are plenty of ways to make a right mess of it.
And I would be grateful if someone please shed some lights regarding whether or not I should transfer my old pensions into SippYou need to analyse the existing plans and compare them to alternative plans and decide which is best. There is no easy answer to give you here as we dont have the details on the plans.
It would be easier to tell us what you have researched so far and why you think that would be a good idea. We can then tell you why it isn't.
As mentioned above, one of my pension is currently generating -6% rate of return and as I recall, it did not really perform well pre-covid too.
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C. I like the idea of the global multi asset funds for easiness as well as due to my lack of knowledge in investing. I will probaby just pick one or two funds and then leave them untouched for at least 10+ years apart from making some contributions (just one or twice a year).
Yep you're absolotely right! To be honest I have zero ideas of funds , ETF's , individual shares , Investment trusts etc. HaHa....Albermarle said:Most SIPPs offer thousands of different investments , including funds , ETF's , individual shares , Investment trusts etc .
As you probably have little idea what I am talking about then this means a SIPP is unnecessarily complicated for you .
Your two older pensions will most likely still be happy for you to make contributions to them , and of course you can just add more to your current workplace pension. Can you say who is providing your current workplace pension and what fund it is invested in ?
But I am a complete newbie in Sipp/Fund&stock investing
As you have three pensions that are all already invested in funds , then you are already an investor . So best to look at and try to understand what you have already.https://www.moneysavingexpert.com/savings/investment-beginners/
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in, but as long as my employer is also contributing, I'm happy.
I'd try to contact my pension providers asking if I can make further contributions. Thank you!!!
If you were in your 20s/30s and in a typical workplace default fund you could end up with ~50%/100% less to live on in retirement in 40 years time compared to someone who looked under the hood and went for a more volatile fund that has more equities and growth potential.
A pension that has a -6% rate of return (sounds strange to be honest) won't do you any favours. Is it really -6% or is that down to the C19 market impact in March, which for many people has been recovered, or something different?
If your current employer scheme is also running at -6% and your employer is contributing the standard 3% your statement about "being happy" makes even less sense!
If you find out the details of what you are invested in from statements, online portal or employer booklets etc. and put the details up on here you will get constructive help with making the most of them.1 -
As mentioned above, one of my pension is currently generating -6% rate of return and as I recall, it did not really perform well pre-covid too.
Pensions do not perform. The investment fund(s) you hold within the pension have performance. And all pension funds have a different level of investment risk and different returns potential. So, what is the name of that fund? (or funds)
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C.All of these are different (although two are closer). VLS100 is a waste of time as its more expensive than a global tracker and Vanguards asset allocation is a weakness. A global tracker is 100% equity whilst the HSBC GS Balanced floats around 60% equity.
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in, but as long as my employer is also contributing, I'm happy.What is wrong with the Aviva pension and the funds they have available? Utilising this pension could be cheaper and better.
I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.1 -
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C.
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in,You are looking at possible new funds although you say To be honest I have zero ideas of funds , whilst at the same time you do not know what your current pension is invested in or what the alternative funds in that pension might be.
It is not a very logical approach to be honest .
1 -
AlanP_2 said:
Don't just be happy that your employer is contributing as well, take a bit of time to look at what you are invested in and learn a bit about the topic.[Deleted User] said:
Thank you very much for sharing your knowledge on Sipps with me! I really very appreciate it!dunstonh said:But I am a complete newbie in Sipp/Fund&stock investing and any advice would be greatly appreciated!!Advice is a regulated activity. Opinion and discussion is all that takes place here. Not advice. And note, sometimes what you read here is complete and utter rubbish and other times really useful (same as any discussion site - you have helpful people and trolls and you have a lot of differences of opinion).
SIPPs are the most advanced pension option. There are hardly any safeguards preventing you from making mistakes (unlike stakeholder pensions, personal pensions and master trust schemes - such as robo providers and workplace pensions). So, you need to be careful as whilst there is no one best way to invest, there are plenty of ways to make a right mess of it.
And I would be grateful if someone please shed some lights regarding whether or not I should transfer my old pensions into SippYou need to analyse the existing plans and compare them to alternative plans and decide which is best. There is no easy answer to give you here as we dont have the details on the plans.
It would be easier to tell us what you have researched so far and why you think that would be a good idea. We can then tell you why it isn't.
As mentioned above, one of my pension is currently generating -6% rate of return and as I recall, it did not really perform well pre-covid too.
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C. I like the idea of the global multi asset funds for easiness as well as due to my lack of knowledge in investing. I will probaby just pick one or two funds and then leave them untouched for at least 10+ years apart from making some contributions (just one or twice a year).
Yep you're absolotely right! To be honest I have zero ideas of funds , ETF's , individual shares , Investment trusts etc. HaHa....Albermarle said:Most SIPPs offer thousands of different investments , including funds , ETF's , individual shares , Investment trusts etc .
As you probably have little idea what I am talking about then this means a SIPP is unnecessarily complicated for you .
Your two older pensions will most likely still be happy for you to make contributions to them , and of course you can just add more to your current workplace pension. Can you say who is providing your current workplace pension and what fund it is invested in ?
But I am a complete newbie in Sipp/Fund&stock investing
As you have three pensions that are all already invested in funds , then you are already an investor . So best to look at and try to understand what you have already.https://www.moneysavingexpert.com/savings/investment-beginners/
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in, but as long as my employer is also contributing, I'm happy.
I'd try to contact my pension providers asking if I can make further contributions. Thank you!!!
If you were in your 20s/30s and in a typical workplace default fund you could end up with ~50%/100% less to live on in retirement in 40 years time compared to someone who looked under the hood and went for a more volatile fund that has more equities and growth potential.
A pension that has a -6% rate of return (sounds strange to be honest) won't do you any favours. Is it really -6% or is that down to the C19 market impact in March, which for many people has been recovered, or something different?
If your current employer scheme is also running at -6% and your employer is contributing the standard 3% your statement about "being happy" makes even less sense!
If you find out the details of what you are invested in from statements, online portal or employer booklets etc. and put the details up on here you will get constructive help with making the most of them.Hi Alan,
Please see attached the screenshot for the rate of return from my Fidelity investment as at 29.10.2020
I think the fund is Fid Diversified Markets Pension Fd Cl 12.
With Standard life I think the fund is Standard Life Active Plus III Pension Fund.
I'd try to dig out what fund it is currently investing with Aviva.
I will be turning 35 very soon. I do not own any property and have only £2000 cash saved in a bank account. My pension pots are small too (3 pension pots but only £7000 in total). If possible I'd really like to find ways to boost my income. Any helps on this would be greatly appreciated!0 -
Take a look at:
https://www.trustnet.com/factsheets/p/mf7u/fidelity-diversified-markets-pn-1
you could pick different dates and see a completely different figure which is why the stock market is for the long term. On the whole the fund has been going up but Covid hit is badly and it hasn't completely recovered yetI’m a Senior Forum Ambassador and I support the Forum Team on the Pensions, Annuities & Retirement Planning, Loans
& Credit Cards boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.
All views are my own and not the official line of MoneySavingExpert.1 -
dunstonh said:As mentioned above, one of my pension is currently generating -6% rate of return and as I recall, it did not really perform well pre-covid too.
Pensions do not perform. The investment fund(s) you hold within the pension have performance. And all pension funds have a different level of investment risk and different returns potential. So, what is the name of that fund? (or funds)
Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C.All of these are different (although two are closer). VLS100 is a waste of time as its more expensive than a global tracker and Vanguards asset allocation is a weakness. A global tracker is 100% equity whilst the HSBC GS Balanced floats around 60% equity.
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in, but as long as my employer is also contributing, I'm happy.What is wrong with the Aviva pension and the funds they have available? Utilising this pension could be cheaper and better.
I believe the funds are Fid Diversified Markets Pension Fd Cl 12 & Standard Life Active Plus III Pension Fund.
Thank you very much for sharing your expertise on the funds! On one hand I'd really like to go for funds with 100% equity as I believe they tend to have the most growth potential in the long run. But at the same time 60% seems a safe choice...
I'd definitely look into what Aviva is currently offering! Many thanks!0 -
You are definitely right! I'd check what exactly my pensions are investing into in more details over the weekends! Thank you!Albermarle said:Currently I have my eyes set on Vanguard VLS100, HSBC FTSE All-World Index Fund Accumulation C, HSBC Global Strategy Balanced Portfolio Accumulation C.
My current workplace pension is with Aviva. I honestly do not what fund it is currently invested in,You are looking at possible new funds although you say To be honest I have zero ideas of funds , whilst at the same time you do not know what your current pension is invested in or what the alternative funds in that pension might be.
It is not a very logical approach to be honest .
0
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351.2K Banking & Borrowing
- 253.2K Reduce Debt & Boost Income
- 453.7K Spending & Discounts
- 244.1K Work, Benefits & Business
- 599.2K Mortgages, Homes & Bills
- 177K Life & Family
- 257.5K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards