The Pension Planner

barmeysmb1

Hi - I'm trying to research an IFA company, which my current Pension Provider's website (Scottish Widows) info link for IFA's eventually led me to but aside from trustpilot reviews, which i'm not totally convinced of, i can't find any other reviews or discussions about them - literally nothing, aside from their own pages/sponsored and non-independent info

Has anyone heard of the "The Pension Planner" (www.thepensionplanner.co.uk) ?
Used them or know of anyone that has ?

Interested to hear anything that might help. - I was hoping to find a discussion thread possibly but no luck so far.

I did look over the Professional Standing (SPS) info (statement of professional standing) for each of The Pension Planner's advisors - and some are outdated (last updated 2021) and some are upto date. Maybe a red flag, hard to say.

dunstonh

 i can't find any other reviews or discussions about them - literally nothing, aside from their own pages/sponsored and non-independent info

Asking if anyone has heard about an advice firm is, in most cases, asking the world wide web if anyone has heard of your local independent butcher.  Most advice firms are 1-5 advisers with a local footprint.       Many don't even have a website.

Interested to hear anything that might help. - I was hoping to find a discussion thread possibly but no luck so far.

This firm, going by the FCA register, has 8 advisers.   Their website says they operate in 57 locations.  However, I suspect a good number of those are virtual offices rather than physical offices.  (even if each adviser had an office each, then 8 advisers and 57 offices doesn't match up.  A quick check of several offices indicates they are business centres with virtual office services available).   The use of virtual offices and 0800 numbers is a way to make a firm appear bigger or higher profile than it actually is.  That is neither negative nor positive.  It is just marketing a business in a certain way.

They say they are independent.  So, that is a good thing.  

I did look over the Professional Standing (SPS) info (statement of professional standing) for each of The Pension Planner's advisors - and some are outdated (last updated 2021) and some are upto date. Maybe a red flag, hard to say.

Depends on where you are looking.  Looking at the PFS (which is the main professional body - but not the only one), they are showing as up-to-date.       

barmeysmb1

Thanks dunstonh

You're right, bit of wide question - i naively thought that as i found the company via a link from Scottish Widows, perhaps the pension planner was bit more known - although i think the original SW link --> PensionWise ---> The pension planner.

The PFS info i reviewed was from a hyperlink under each advisor on the pension planner's website itself - which might not be the only one like you say, although probably points to the IFA company not maintaining their own website/keeping it updated.

Initially the company looked ok - and sounded ok on a first call - now i'm a bit less impressed though.

I do know, on a £250k pension, their charge (if recommendations are taken up) is 2% capped at £3.5k

How does that sound ? Standard or a bit high ?

Albermarle

If a financial advisor company is big enough that many people have heard of them, they will almost certainly be calling themselves a wealth management company, with glossy brochures a snazzy website and high fees. Best avoided.

I do know, on a £250k pension, their charge (if recommendations are taken up) is 2% capped at £3.5k

Sounds about normal for an initial charge. Usually the deal is that they also manage the pension on an ongoing basis as well ( although not obligatory) and this should cost 0.5% to 0.75% pa for a fund that size.

barmeysmb1

Thanks Albermarle, appreciated.

dunstonh

You're right, bit of wide question - i naively thought that as i found the company via a link from Scottish Widows, perhaps the pension planner was bit more known - although i think the original SW link --> PensionWise ---> The pension planner.

The Scottish widows site links to unbiased.   Unbiased is a commercial lead generation site (many years ago, it used to be an IFA directory but not any more).   So, firms that have signed up to unbiased will only appear.   In our area, it is mostly the sales reps, a regional firm and a network adviser.   None of the smaller independent directly authorised firms in our area appears on unbiased.       Sadly, unbiased went commercial and many IFAs left their service 

The PFS info i reviewed was from a hyperlink under each advisor on the pension planner's website itself - which might not be the only one like you say, although probably points to the IFA company not maintaining their own website/keeping it updated.

A general rule of thumb.  Never put info on a website you do not plan to update or likely forget to update.     The actual PFS "find an adviser" service is accurate.  If I was doing what they wanted, I would have hyperlinked to my PFS entry.   

I do know, on a £250k pension, their charge (if recommendations are taken up) is 2% capped at £3.5k

How does that sound ? Standard or a bit high ?

The cap and collar model on initial charge is increasingly popular. It's a method I use. It keeps the charge from becoming indecent.    I think that level is fine (it's not far off mine and I have actually been thinking about increasing my cap to that figure! - so I would say that)

Initially the company looked ok - and sounded ok on a first call - now i'm a bit less impressed though

A bit of poor housekeeping on their website is unfortunate but wouldn't be a problem for me.    When I deal with businesses, I don't like virtual offices and avoid them.   If they have a real office near you, then that would be ideal.    Even if you don't use the office, knowing they have a physically traceable location feels safer.  If you plan to receive remote advice then location isn't an issue.  However, if the adviser is doing home visits, then you really want that adviser to be close to you and not travelling hundreds of miles each time.   Or, if you prefer to drop in on the adviser, then the location of the office is more important.

barmeysmb1

Thanks for the comments - you’re right, unbiased was the referring link now I think about it.

My original driver for looking for an IFA was that my workplace pension approx £250k is invested with SW Pension Portfolio Two - and to see if there are better options, given I expect to retire in 10 years, in the meantime I’ll contribute around £29k per year.

The pension planner do say they’ll do the analysis and walk through options, with no obligation or charge to move forward, so in theory I could just explore that - however whilst that sounds interesting to hear, given that I can’t find any other info about them then my trust levels for this IFA are probably quite low and therefore I’d probably be wasting their time & mine.

I’m pretty sure that most IFAs will probably suggest much better options than SW Pension Portfolio Two - yet the safety net of SW feels a bit warmer.

Any thoughts welcome …

dunstonh

My original driver for looking for an IFA was that my workplace pension approx £250k is invested with SW Pension Portfolio Two - and to see if there are better options, given I expect to retire in 10 years, in the meantime I’ll contribute around £29k per year.

If that is your current workplace pension (i.e. you are an active member) then you dont have a lot of choice.    The employer controls the scheme.  Not you.  You just get a choice of funds on that scheme.    Some schemes may allow partial transfers but most do not.

If it's a historic workplace pension (i.e. you are not a current member) then you are free to move it if you wish.

The pension planner do say they’ll do the analysis and walk through options, with no obligation or charge to move forward, so in theory I could just explore that - however whilst that sounds interesting to hear, given that I can’t find any other info about them then my trust levels for this IFA are probably quite low and therefore I’d probably be wasting their time & mine.

All IFAs do that work.  You don't need one that markets itself as a retirement focus.  The reality is, that IFAs do more on retirement planning than any other area.   Some may not offer contingency charging but most will go the information gathering stage and tell you if you can get better or not before you commit or walk away.    

I’m pretty sure that most IFAs will probably suggest much better options than SW Pension Portfolio Two - yet the safety net of SW feels a bit warmer.

The SW workplace offering is basic.  Unless the employer has obtained or funded high discounts, then you would expect the outcome to be a recommendation to transfer.      SW offers no safety net over any other mainstream provider.   

barmeysmb1

Thanks dunstonh

If that is your current workplace pension (i.e. you are an active member) then you dont have a lot of choice.    The employer controls the scheme.  Not you.  You just get a choice of funds on that scheme.    Some schemes may allow partial transfers but most do not.


If it's a historic workplace pension (i.e. you are not a current member) then you are free to move it if you wish

You are right - It's a workplace pension, with options to change funds (within the limited SW options available - i think around 20 or 30 different funds).
I get the impression that i can transfer the current pot out, as i enquired awhile back about moving the fund to a SIPP, which was possible, although i wasn't sure how future contributions during my working years might be re-diverted to new fund or not - maybe possible but that stopped me thinking about it too much further. Probably entirely possible through speaking to payroll although i also pay a yearly bonus into it too via salary sacrifice.

All IFAs do that work.  You don't need one that markets itself as a retirement focus.  The reality is, that IFAs do more on retirement planning than any other area.   Some may not offer contingency charging but most will go the information gathering stage and tell you if you can get better or not before you commit or walk away. 

  Thanks - so nothing to lose in seeing what the IFA has to recommend.

The SW workplace offering is basic.  Unless the employer has obtained or funded high discounts, then you would expect the outcome to be a recommendation to transfer.      SW offers no safety net over any other mainstream provider.  

 I think my employer (global and reasonably large) has a discounted ongoing fund management charge discounted to 0.75%.
regarding the "warm feeling" my feeling is that SW will be around for a long time - and i'm not sure i could say the same for TPP although i expect that the underlying fund is protected to the same extend under both SW or TPP ?

dunstonh

I get the impression that i can transfer the current pot out, as i enquired awhile back about moving the fund to a SIPP, which was possible, although i wasn't sure how future contributions during my working years might be re-diverted to new fund or not - maybe possible but that stopped me thinking about it too much further.

Unless you are a key worker or director, the employer is unlikely to divert the regular contribution to an individual scheme.  To do that, you would need to opt out and the payroll department would have to have a unique payment to you (and anyone else doing the same).  There could also be a monthly employer payer form needed to be submitted if the amount is variable along with you keying in any adjustments.   Its far too much admin for most employers to consider.

If the existing scheme doesn't support partial transfers, then again, you would have to opt-out, and potentially miss up to 12 months of employer payments before being able to opt back in again.

 I think my employer (global and reasonably large) has a discounted ongoing fund management charge discounted to 0.75%.

That hasn't been discounted.  0.75% is the auto-enrolment cap.   Discounted schemes would be lower than that.   Good discounts tend to give a total charge between 0% and 0.4%.     So, effectively you have a bog standard AE scheme with basic investment funds at the maximum price possible.

regarding the "warm feeling" my feeling is that SW will be around for a long time - and i'm not sure i could say the same for TPP although i expect that the underlying fund is protected to the same extend under both SW or TPP ?

An alternative view is that SW are owned by Lloyds.  Lloyds have a track record of trashing insurance companies.    Many think Lloyds will look to sell the SW legacy business at some point (on the basis that most insurers have).   SW until very recently, didn't have any modern pension products and didnt operate a platform.

When you use an IFA, you are not placing your investments with the IFA.     You will still be with a pension provider. And that provider could be SW, but with a different plan version. Or any other provider.  The IFA provides advice and facilitates the advice with the recommended provider.   Only FAs offer their own product and that is because they are sales reps of their provider.

barmeysmb1

Thanks dunstonh - your replies are incredibly helpful and make a lot of sense, appreciate you taking the time to give insights.

I think i'll give TPP a fair shot and see what they have to say.