Compare Pension fund performance

Rich1976

dunstonh said:

pill84 said:

dunstonh said:

I have a personal pension with Standard Life but I was considering moving it to a Vanguard SIPP as I was attracted by the low fees etc.

And how does your SL pension compare on charges?  SL workplace pensions are often very cheap.  Cheaper than Vanguard.   So, have you checked yours?
Vanguard is the fund manager for a number of SL's passive funds.

If I've read the online pdf correctly it says 1.03% Total Annual Fund Charge.

Ignore the fund factsheet.   That is the default maximum charge.  Most of their relatively modern plans dont charge maximum. Workplace ones are nearly always discounted on that (some down to 0.1%-0.3%.    You need to be looking at the charges you are paying. Not the default maxmimum

Also, the 0.03% on top of the 1% are the transaction charges.   VLS funds are typically around 0.07% ish.  If you are going to compare like for like.

My employer uses Standard Life and if we stick to the default fund the charge is 0.78% which is the only fund that is discounted but as I opted for a global tracker I have to pay 1.14% ( as shown in the app and also the policy documents they sent )

dunstonh

Rich1976 said:

dunstonh said:

pill84 said:

dunstonh said:

I have a personal pension with Standard Life but I was considering moving it to a Vanguard SIPP as I was attracted by the low fees etc.

And how does your SL pension compare on charges?  SL workplace pensions are often very cheap.  Cheaper than Vanguard.   So, have you checked yours?
Vanguard is the fund manager for a number of SL's passive funds.

If I've read the online pdf correctly it says 1.03% Total Annual Fund Charge.

Ignore the fund factsheet.   That is the default maximum charge.  Most of their relatively modern plans dont charge maximum. Workplace ones are nearly always discounted on that (some down to 0.1%-0.3%.    You need to be looking at the charges you are paying. Not the default maxmimum

Also, the 0.03% on top of the 1% are the transaction charges.   VLS funds are typically around 0.07% ish.  If you are going to compare like for like.

My employer uses Standard Life and if we stick to the default fund the charge is 0.78% which is the only fund that is discounted but as I opted for a global tracker I have to pay 1.14% ( as shown in the app and also the policy documents they sent )

That's a shame as its generally not difficult to get Standard Life workplace pensions on better discounted terms.   
0.75% is the cap on the default funds (which typically means any own-brand internal funds and not those where a different fund house is involved).    The cap does not include transaction charges (much the same as people focus on VLS as being 0.22% OCF and ignore the 0.07% transaction charges on top of that).

Hopefully, the OP will check what their scheme actually is and not rely on the fund factsheet.  Even if it confirms that theirs is not 1% as they think but 0.75%, its still useful to know.  They may get lucky and fund they are on 0.3% terms or that ballpark.

It is also worth noting that when there are discounted terms, it typically applies to all funds available on a pro-rata basis.

Albermarle

I have an old SL pension and I still get the original employers discount of 0.55%. So if the fund costs 1% , I only pay 0.45%.
I only discovered this some years ago by calling them as it is not mentioned in the paperwork anywhere.
Other posters have mentioned discounts as high as 0.7%