Acceptable growth

howeller_2

Hi have posted here intermittently but have a simple question today to try and help me make a decision.
My OH has had a pension invested since October 2012. He invested £108000 with IFA advice which he is still receiving. It was worth £135000 as of today. Low attitude to risk so no bells and whistles. Do we think thats an acceptable outcome?

MK62

Without knowing what the pension was invested in, there's no way to really answer that.

[Deleted User]

How much has the the IFA earned from your OH in the last eight years, howeller_2?

garmeg

howeller_2 said:

Hi have posted here intermittently but have a simple question today to try and help me make a decision.
My OH has had a pension invested since October 2012. He invested £108000 with IFA advice which he is still receiving. It was worth £135000 as of today. Low attitude to risk so no bells and whistles. Do we think thats an acceptable outcome?

Annualised growth rate is about 2.8%. Seems pretty poor to me. Even low risk bonds would have trumped that.

dunstonh

. Low attitude to risk so no bells and whistles. 

How low?   Defensive levels would be that sort of ballpark.   Cautious should be better.

One person's low risk is another person's adventurous. So, context is generally needed.

Is the pension receiving contributions or paying any income out?

howeller_2

ZingPowZing said:

How much has the the IFA earned from your OH in the last eight years, howeller_2?

Ashamed to say we don't know but this worries me also. He is currently earning £750p.a. on that £130000. Aviva charge £420
Originally in Met lIfe now with Aviva; don't have names of products to hand...
He advised a Prudential bond in 2017 £48500 invested, £1500 charged for arranging and now charging £250.

howeller_2

dunstonh said:

Is the pension receiving contributions or paying any income out?

Nothing going in or out

zagfles

Very low returns, can't believe anyone could have got such low returns unless invested mostly in cash, which over an 8 year period would be crazy even for someone with a low risk tolerance. Or maybe charges were high.

howeller_2

zagfles said:

Very low returns, can't believe anyone could have got such low returns unless invested mostly in cash, which over an 8 year period would be crazy even for someone with a low risk tolerance. Or maybe charges were high.

That’s what we think but we don’t know how to proceed. I’ve used 3 IFA over the years and it always ends badly. We are tempted to turn it over to the Vanguard SIPP. Any thoughts?

Thrugelmir

howeller_2 said:

Low attitude to risk so no bells and whistles. Do we think thats an acceptable outcome?

Rather late to use hindsight and wish that more risk had been taken at the outset. The outcome is what it is. The time has passed. Possibly not to be repeated for some considerable time. 

DairyQueen

OP: How old is your OH? Is he intending on retiring in 10 years? 20? 30?