Investigating moving pensions (again) - Oh how I miss Snowman's spreadsheet!

cloud_dog

Am in the process of looking at moving pensions (for our early retirement pots) again, as I am looking to put the cash element in to one of the cash/near cash investments (CSH2 for example) currently enjoying the Vanguard cash interest rate for a few days longer.

My assumed/likely option was AJB, but they do not appear to be as 'cheap' as they used to be (revised charges June 2022).  The two pots would each fall within their middle charging range £100k to £200k, meaning a £220pa charge per account.  Not huge, but I like to save money , and AJB charge £60 for in specie transfers in

Fidelity are off the table as they don't offer a couple of the ETFs we might use.  Their charges would be capped at £90pa per account.  Have asked if they might add the ETFs to their list.

HL would be capped at £200pa per account, and would have the investments required.

Looked at iWeb, and this would be capped at £180pa per account.  Need to check availability of the ETFs.

Could leave them with Vanguard and switch some of the cash in to  Vanguard Sterling Short-Term Money Market fund, but I don't believe they provide auto-distribution / income reinvesting.  Have asked for clarification.

Looked at II, but they are relatively costly, coming in at just under £240pa per account, and the in built transaction benefit would be of limited value (I tend to invest lump sums once a year).  Although II have an offer on which would give £300 x 2 accounts and save 6 months of account charges for the first 6 months.

BestInvest looks expensive (I know there is an offer on at present (or at least there was)).

Any comments in case I have misunderstood any of the above charges?  OR, is there anyone I am missing (I appreciate there are a large number of providers out there)?

NedS

If it's just the INC version of the Vanguard short term money market fund that bothers you and you want to reinvest dividends which were below the minimum investment amount (often £100), I'd just sell a few units to give £100 cash and reinvest it the next day. You're less than £100 out of the market for 1 day, and with 3.93% SONIA on the money market fund and ~2% plus? paid by the platform on cash, you'd be hard pressed to see the difference (less than a penny?)

Not sure what the minimum investment amount is on your Vanguard short term money market fund

Linton

How do you get £240 per account for an II SIPP? https://www.ii.co.uk/ii-accounts/sipp/sipp-charges gives a SIPP as £12.99/month.

MallyGirl

That pension builder option is new I think. I have my ISA with them as well so pay the £19.99 per month i.e. £240 for the 2 (plus you get a GIA in there as well)

marycanary

Is this website of any use to you?

www.comparefundplatforms.com

DavidT67

cloud_dog said:

Am in the process of looking at moving pensions (for our early retirement pots) again, as I am looking to put the cash element in to one of the cash/near cash investments (CSH2 for example) currently enjoying the Vanguard cash interest rate for a few days longer.

My assumed/likely option was AJB, but they do not appear to be as 'cheap' as they used to be (revised charges June 2022).  The two pots would each fall within their middle charging range £100k to £200k, meaning a £220pa charge per account.  Not huge, but I like to save money , and AJB charge £60 for in specie transfers in

Fidelity are off the table as they don't offer a couple of the ETFs we might use.  Their charges would be capped at £90pa per account.  Have asked if they might add the ETFs to their list.

HL would be capped at £200pa per account, and would have the investments required.

Looked at iWeb, and this would be capped at £180pa per account.  Need to check availability of the ETFs.

Could leave them with Vanguard and switch some of the cash in to  Vanguard Sterling Short-Term Money Market fund, but I don't believe they provide auto-distribution / income reinvesting.  Have asked for clarification.

Looked at II, but they are relatively costly, coming in at just under £240pa per account, and the in built transaction benefit would be of limited value (I tend to invest lump sums once a year).  Although II have an offer on which would give £300 x 2 accounts and save 6 months of account charges for the first 6 months.

BestInvest looks expensive (I know there is an offer on at present (or at least there was)).

Any comments in case I have misunderstood any of the above charges?  OR, is there anyone I am missing (I appreciate there are a large number of providers out there)?

Are you sure AJ Bell charge for transfers in? Their SIPP charges page or document states 'No Charge' for transfers.

If HL with cap your account, as ETFs only, then wouldn't AJ Bell also cap it at £120 ?

Albermarle

MallyGirl said:

That pension builder option is new I think. I have my ISA with them as well so pay the £19.99 per month i.e. £240 for the 2 (plus you get a GIA in there as well)

Pension builder seems to be a new 'low cost SIPP' . The main difference from your arrangement seems to be that there are no free trades each month. Regular investing seems OK though.

cloud_dog

Linton said:

How do you get £240 per account for an II SIPP? https://www.ii.co.uk/ii-accounts/sipp/sipp-charges gives a SIPP as £12.99/month.

Perhaps that is an obvious mistake by me?

I didn't think the £12.99 was the only charge, e.g. I thought (perhaps incorrectly) that you needed a GIA or ISA account.  Re-reading it I can see that I mistook some of the II charges, and read the £19.99 as the overall cost, including a GIA or ISA (which I do not require).  I can see now that I simply should have stopped reading after:

SIPP charges at a glance

New customers start on our £12.99 a month Pension Builder plan.

The words woods and trees spring to mind.  So £156(ish).

cloud_dog

DavidT67 said:

cloud_dog said:

Am in the process of looking at moving pensions (for our early retirement pots) again, as I am looking to put the cash element in to one of the cash/near cash investments (CSH2 for example) currently enjoying the Vanguard cash interest rate for a few days longer.

My assumed/likely option was AJB, but they do not appear to be as 'cheap' as they used to be (revised charges June 2022).  The two pots would each fall within their middle charging range £100k to £200k, meaning a £220pa charge per account.  Not huge, but I like to save money , and AJB charge £60 for in specie transfers in

Fidelity are off the table as they don't offer a couple of the ETFs we might use.  Their charges would be capped at £90pa per account.  Have asked if they might add the ETFs to their list.

HL would be capped at £200pa per account, and would have the investments required.

Looked at iWeb, and this would be capped at £180pa per account.  Need to check availability of the ETFs.

Could leave them with Vanguard and switch some of the cash in to  Vanguard Sterling Short-Term Money Market fund, but I don't believe they provide auto-distribution / income reinvesting.  Have asked for clarification.

Looked at II, but they are relatively costly, coming in at just under £240pa per account, and the in built transaction benefit would be of limited value (I tend to invest lump sums once a year).  Although II have an offer on which would give £300 x 2 accounts and save 6 months of account charges for the first 6 months.

BestInvest looks expensive (I know there is an offer on at present (or at least there was)).

Any comments in case I have misunderstood any of the above charges?  OR, is there anyone I am missing (I appreciate there are a large number of providers out there)?

Are you sure AJ Bell charge for transfers in? Their SIPP charges page or document states 'No Charge' for transfers.

If HL with cap your account, as ETFs only, then wouldn't AJ Bell also cap it at £120 ?

£60 for in specie transfer in.

That was my starting premise, as I have used AJB and still have an open account with small amount in it.  But, I cannot see anywhere in the charges sheet (linked to) a £120 cap.  If my memory serves, it used to be capped at £120 and that was probably why I was simply going to go back there, but from the June 2022 charging sheet it appears that the quarterly caps are

• £45 (up to £100k)
• £55 (£100k to £200k)
• and £65 (above £200k).

EDIT:  According to comparefundplatforms.com AJB cap SIPPs not invested in OEICs at £25 per quarter (so £100pa), which I do not think is correct.

Albermarle

cloud_dog said:

Linton said:

How do you get £240 per account for an II SIPP? https://www.ii.co.uk/ii-accounts/sipp/sipp-charges gives a SIPP as £12.99/month.

Perhaps that is an obvious mistake by me?

I didn't think the £12.99 was the only charge, e.g. I thought (perhaps incorrectly) that you needed a GIA or ISA account.  Re-reading it I can see that I mistook some of the II charges, and read the £19.99 as the overall cost, including a GIA or ISA (which I do not require).  I can see now that I simply should have stopped reading after:

SIPP charges at a glance

New customers start on our £12.99 a month Pension Builder plan.

The words woods and trees spring to mind.  So £156(ish).

Also  a cashback and free period on offer. There seems to have been a rash of these recently from many providers, they really seem to want our money !
SIPP Special Offers - interactive investor (ii.co.uk)

cloud_dog

Albermarle said:

cloud_dog said:

Linton said:

How do you get £240 per account for an II SIPP? https://www.ii.co.uk/ii-accounts/sipp/sipp-charges gives a SIPP as £12.99/month.

Perhaps that is an obvious mistake by me?

I didn't think the £12.99 was the only charge, e.g. I thought (perhaps incorrectly) that you needed a GIA or ISA account.  Re-reading it I can see that I mistook some of the II charges, and read the £19.99 as the overall cost, including a GIA or ISA (which I do not require).  I can see now that I simply should have stopped reading after:

SIPP charges at a glance

New customers start on our £12.99 a month Pension Builder plan.

The words woods and trees spring to mind.  So £156(ish).

Also  a cashback and free period on offer. There seems to have been a rash of these recently from many providers, they really seem to want our money !
SIPP Special Offers - interactive investor (ii.co.uk)

Yes, I spotted both the cashback offer and the 6 months free.

I think, after two decades of running away from II (III as was) constant swallowing of competitors and their service suffering due to the onboarding of these companies, it looks like we will be going back to them.