Time to cash in our private pensions?

Good evening & happy New Year to all!
I have a private pension with AFH wealth management of £148k, my wifes is worth around £25k. We have another property(no mortgage) that we let. We have savings accounts with around £15k.
 We are retired aged 71 & 69 with reasonably good health, no mortgage or money owed, no dependants.
Thankfully we don't need money but, I've just received my portfolio performance statement & it states that I have a 0.7% return for June 23 - Nov 23 (£1020) & my costs were £1231, so around a £200 loss.
I know these things go up & down, I just wondered if it's cashing them in?
Not talked with my IFA yet, I thought I'd ask the question first!
After writing this it seems to me, the best thing to do, is to leave it where it is!
TIA
Hayabusman
«1

Comments

  • tacpot12
    tacpot12 Posts: 7,845
    First Anniversary Name Dropper First Post
    Forumite
    As you don't need the money, it would be best to leave it where it is. I think I would still talk to your IFA, just to get their perspective on why hasn't performed very well, but six months is far to short a time to be judging whether an investment is doing well or not. Is the £1231 the costs for six months or for a full year? You have to be careful to compare like with like. 


    The comments I post are my personal opinion. While I try to check everything is correct before posting, I can and do make mistakes, so always try to check official information sources before relying on my posts.
  • masonic
    masonic Posts: 22,828
    Photogenic Name Dropper First Post First Anniversary
    Forumite
    The main question would be whether it is still invested appropriately for your current circumstances. Also, find out what the performance has been like over 5 and 10 years. As you say, what it does over a 6 month period is fairly meaningless.
  • Mikeeee_2
    Mikeeee_2 Posts: 53
    Name Dropper First Post First Anniversary Combo Breaker
    Forumite
    Those costs seem very high. You could whittle those down quite considerably by moving them to a cheaper platform to maintain the capital you built up. Then it will depend if you want an element of growth, take some out each year but preserve the capital or spend it down. 
  • Nebulous2
    Nebulous2 Posts: 5,063
    First Anniversary Name Dropper First Post
    Forumite
    What are your plans for them? 

    What is the rest of your income like? 

    Are you or your estates likely to be liable for inheritance tax? 

    If these aren't needed for yourselves, but are intended as an inheritance, then removing them from the pension wrapper is likely to be a big mistake. 
  • Bigwheels1111
    Bigwheels1111 Posts: 2,243
    First Anniversary First Post Name Dropper
    Forumite
    I see your ages and think, why have all that money and not enjoy life.
    I only have a state pension and when I technically retire, well I did 10 years ago to care for my friend.
    But got over 10 years to go before I’m officially retired.
    I aim to have an income of 30k plus a year until I’m 80-85 year old.
    I have enough savings to make this happen.
    By 85 I expect to be 6 foot under or senile, so won’t care either way.
    Sell up, cash in your pension and party around the world  B).

  • dunstonh
    dunstonh Posts: 115,639
    Name Dropper First Anniversary Combo Breaker First Post
    Forumite
    Thankfully we don't need money but, I've just received my portfolio performance statement & it states that I have a 0.7% return for June 23 - Nov 23 (£1020) & my costs were £1231, so around a £200 loss.
    There was a dip in November.  December was a bumper month,  What is current value like?

    I know these things go up & down, I just wondered if it's cashing them in?
    You dont need the money.  So, why pay a load of tax unnecessarily?

    After writing this it seems to me, the best thing to do, is to leave it where it is!
    Actually, best thing is talk to your IFA.   They can explain market events and reasons to you.







    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.
  • wjr4
    wjr4 Posts: 1,104
    First Anniversary First Post Name Dropper Combo Breaker
    Forumite
    AFH are expensive salespeople and it might be better to see a local IFA. They are buying lots of businesses so the level of service is likely to get worse. 
    I am an Independent Financial Adviser (IFA). Any posts on here are for information and discussion purposes only and should not be seen as financial advice.
  • boingy
    boingy Posts: 1,142
    First Post Name Dropper
    Forumite
    It would probably be daft to cash it all in but you might want to investigate transferring it to another provider.

    You might also want to consider cashing in the 25% tax free part of the pension, but that would assume you have a use for the money. Maybe it's time for that world cruise... 
  • Mikeeee_2
    Mikeeee_2 Posts: 53
    Name Dropper First Post First Anniversary Combo Breaker
    Forumite
    boingy said:
    It would probably be daft to cash it all in but you might want to investigate transferring it to another provider.

    You might also want to consider cashing in the 25% tax free part of the pension, but that would assume you have a use for the money. Maybe it's time for that world cruise... 
    I think what @boingy is trying to say is, enjoy the money whilst you still have your health. No point in hoarding it. Create some special memories.
  • ProDave
    ProDave Posts: 3,612
    First Anniversary Name Dropper Combo Breaker First Post
    Forumite
    I see your ages and think, why have all that money and not enjoy life.
    I only have a state pension and when I technically retire, well I did 10 years ago to care for my friend.
    But got over 10 years to go before I’m officially retired.
    I aim to have an income of 30k plus a year until I’m 80-85 year old.
    I have enough savings to make this happen.
    By 85 I expect to be 6 foot under or senile, so won’t care either way.
    Sell up, cash in your pension and party around the world  B).

    I feel the same.  By that age you should be drawing your pensions and enjoying yourself (cash in is the wrong way to describe it imho)

    I am 60 and by the time I am 61 I will be drawing all my pensions and retired.  You only get a certain time on this rock, and using that time left working is not on my plan.

    If you don;t draw it now and enjoy life I guess someone is going to get a good inheritance?  as long as someone does not hmrc.......
Meet your Ambassadors

Categories

  • All Categories
  • 341.7K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449.1K Spending & Discounts
  • 233.8K Work, Benefits & Business
  • 605.9K Mortgages, Homes & Bills
  • 172.3K Life & Family
  • 246.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards