Should I Transfer a Private Pension into my Workplace Pension

Vectrum999

Hi,
I have around £45,000 in a Prudential (M&G now I think) stocks & shares private pension that is frozen as I don't pay anything into it anymore. It seems to have stagnated now for a couple of years and actually lost money. And also, I've just realised I'm paying around £800 per year in costs and charges!
I also have a Smart Pension workplace pension that I contribute into (nearly £200 per month including employer contribution). This has a pot of around £15,000 at the moment and seems to be doing quite well.
My question is, should I transfer my Pru pot into the workplace pension. What are the pros and cons? I'm sure it's not a simple 'yes or no' and I'm sure there are reasons why each one has their own merits, but it seems clear to me. 
Just after some opinions please.
Many thanks.

dunstonh

I have around £45,000 in a Prudential (M&G now I think) stocks & shares private pension that is frozen as I don't pay anything into it anymore.

Frozen has a specific meaning.  It won't be frozen.

It seems to have stagnated now for a couple of years and actually lost money.

Not unexpected. 2022 was a loss year.  The more you had in gilts and bonds, the greater your loss.  Changing pension providers wouldn't have changed that.  Everyone was down in 2022.

nd also, I've just realised I'm paying around £800 per year in costs and charges!

That is unusually high for Pru.  Most of their legacy pensions float around the 1% mark.  Although some did have access to external funds which could increase the charge (a fund switch to a cheaper fund would fix that if you are charges focused)

I also have a Smart Pension workplace pension that I contribute into (nearly £200 per month including employer contribution). This has a pot of around £15,000 at the moment and seems to be doing quite well.

If you are paying into it, then it would have benefitted from the loss period by buying units cheaper during that period.  Now we have seen some growth over December and January, those cheaper units would have made more.   You haven't paid into the Pru over that period, so it would not have the same benefit.    

My question is, should I transfer my Pru pot into the workplace pension

You haven't said how you are currently invested in either pension.   That is major consideration.  

Marcon

dunstonh said:

I have around £45,000 in a Prudential (M&G now I think) stocks & shares private pension that is frozen as I don't pay anything into it anymore.

Frozen has a specific meaning.  It won't be frozen.

Google on 'frozen pensions' and it's easy to see why so many people use the term - eg 
https://www.pensionbee.com/pensions-explained/find-transfer-pensions/frozen-pension-options

The definition 'A frozen pension is an old workplace pension that you are no longer paying into' seems to have become common currency. Times change!

dunstonh

Marcon said:

dunstonh said:

I have around £45,000 in a Prudential (M&G now I think) stocks & shares private pension that is frozen as I don't pay anything into it anymore.

Frozen has a specific meaning.  It won't be frozen.

Google on 'frozen pensions' and it's easy to see why so many people use the term - eg 
https://www.pensionbee.com/pensions-explained/find-transfer-pensions/frozen-pension-options

The definition 'A frozen pension is an old workplace pension that you are no longer paying into' seems to have become common currency. Times change!

Indeed, the dumbing down by certain sites or re-using specific phrases to mean something else is to blame.

Vectrum999

Smart Pension is Smart Sustainable Growth (Series 1).

Pru pension is ProFund Risk Managed 3 Fund Series D.

I appreciate it’s been a tough few years, but the Smart Pension seems to have weathered it much better and growing quite nicely.

ewaste

Vectrum999 said:

Smart Pension is Smart Sustainable Growth (Series 1).

Pru pension is ProFund Risk Managed 3 Fund Series D.

I appreciate it’s been a tough few years, but the Smart Pension seems to have weathered it much better and growing quite nicely.

They are very different funds and approaches then, your current fund appears to be around 80% Equity whereas the latter seems to be half that at quick glance. It's also weighted heavily toward the UK with more fixed interest i.e. bonds which have had a very poor few years. 

It's no wonder the Smart Pension has been doing better.

Vectrum999

Pru charges 

AlanP_2

Who is your adviser? You are paying someone to provide that service, are they doing it?