Transfer ex employers DC to Personal Sipp.

Dandytf

Is it possible to Transfer ex employers DC to existing and only recently started rbs/aka Coutts Sipp.
I've been hesitant as LFS Equities seem to be in upwards trajectory yet Diversified growth lags behind though still upwards.
Meanwhile rbs  Sipp seems to be decent start 9%.
If it's possible how much Risk is there to consider.

thanks mser's

DavidT67

Fund performance shouldn't be the deterimant factor in changing pension provider.  Generally all providers offer a similar range of funds, i.e. Global equity tracker.  Unless the funds are failing to track their benchmark !?

Fees for the platform, charges for the funds, functionality of the provider platform and quality of customer service should be what you assess.

So how do the RBS SIPP platform and fund fees compare to the workplace DC provider fees ?  How do both compare to other providers such as Hargreaves Lansdown ?

Marcon

Dandytf said:

Is it possible to Transfer ex employers DC to existing and only recently started rbs/aka Coutts Sipp.
I've been hesitant as LFS Equities seem to be in upwards trajectory yet Diversified growth lags behind though still upwards.
Meanwhile rbs  Sipp seems to be decent start 9%.
If it's possible how much Risk is there to consider.

thanks mser's

Any safeguarded rights (eg a guaranteed annuity rate) in the old DC scheme? If yes, and the value is at least £30K, you'll need to take financial advice before doing so. Otherwise there shouldn't be any constraint on transferring.

You've got a SIPP you've just started which has got off to a good start, but that doesn't mean it will go on doing better than the old DC funds. What's your attitude to risk? Have you looked at switching the old DC funds and leaving them where you are, if that's an option - and could it be a better option? 

dunstonh

Is it possible to Transfer ex employers DC to existing and only recently started rbs/aka Coutts Sipp.

I didn't know Coutts did a SIPP.  Is this a new product?    Previously, they used the Coutts name to retail an expensive robo pension (and one that was easy to justify transferring out)

Dandytf

Thanks Mser's rather than multi quote...
I had been considering Fund Performance, thanks as this Shouldn't be my 1st point. before t/fer decision?
Benchmarks I hadn't checked I did when Employed in DC though I can view trajectory via LFS App.
No idea which benchmark rbs sipp uses. 
Fees totals as per DC App £3.42month rbs sipp £3 -negligible difference.
Any CS is digital, LFS  very good app with excellent fund choices albeit since Non Conts as ex employee.
Rbs more pre selected Sipp choices and combined access now via rbs banking App
(though this is my preference as didn't think I had enough years to invest via hl self select)
Value is +21k doesn't make 30k range advice not required.
I Could potentially swap LFS Fund choices, though as Mser's  had kindly stated when asked this DC Is already very High Risk in terms of Equities, I don't have knowledge to make alternative choices, going by my short lived fund choices via what was HL Sipp and proved to be extremely volatile. 

I'm tempted to make the switch from LFS to RBS
I enjoy much more Balanced stocks that rbs choose which Exceeds my Limited knowledge.
I'll be approaching certainly last 10 yrs Or much less years to retirement and think rbs stock choices are more Pro Balanced choices and could mean much less volatility when markets turn downwards.
Rbs is choose and leave type Sipp- I very rarely view discreet Investments tab via banking app.
Basically it means No prev Employers reminder:)

Finally the Tax Free Allowance does that continue, and I guess if I ever want to consider 25% tax free from 55
Not sure how this works via rbs is it possible to choose another provider for the purpose of selling/withdrawing 25% only.
Some providers are take it all rather than 25%

thanks

Dandytf

dunstonh said:

Is it possible to Transfer ex employers DC to existing and only recently started rbs/aka Coutts Sipp.

I didn't know Coutts did a SIPP.  Is this a new product?    Previously, they used the Coutts name to retail an expensive robo pension (and one that was easy to justify transferring out)

I daren't disagree!
rbs collective investment funds limited trading as Coutts Asset Management.

thanks:)

dunstonh

I had been considering Fund Performance, thanks as this Shouldn't be my 1st point. before t/fer decision?

Performance is only important when comparing like for like in the same period.   
e.g. comparing a fund with 60% equities with another one with 60% equities.   There is no point comparing 40% equities with 80% equities.   

I once spoke to someone who was boasting how he changed his pension as the old one was rubbish and his new one did so much better.   He showed me the paperwork and in both cases he was invested in a FTSE100 tracker.    The newer pension was more expensive.    So, his newer pension that had done better was worse than the previous one.

No idea which benchmark rbs sipp uses. 

They don't appear to have a SIPP from what I can see.
You would expect a SIPP using comparable investments to beat the Coutts robo offering.   I certainly found that to be the case with the last one I looked at about 18 months ago.

Dandytf

 Certainly underperforming 23-24 benchmark maybe -1-2%
I''ll leave screenshot though rbs does confirm this balance choice is mid risk level 4. 

Dandytf

This is interesting LFS rate of return 23-24 14.08%
No idea if rbs offer this 'feature'
This rbs info is why I didn't transfer previously.
Special features your pension might have which you'll lose if you transfer it to us include:

• Tax free cash over 25% I'de rather not though option could be useful only if required. 
• Access to your pension pot before age 55 -Not possible/Not impossible

dunstonh

Dandytf said:

 Certainly underperforming 23-24 benchmark maybe -1-2%
I''ll leave screenshot though rbs does confirm this balance choice is mid risk level 4. 

23 saw US equities outperform most countries.   24 has seen UK equities be amongst the top performers

So, funds that are heavy one or the other have done better in those different periods.

Special features your pension might have which you'll lose if you transfer it to us include:

• Tax free cash over 25% I'de rather not though option could be useful only if required. 

• Access to your pension pot before age 55 -Not possible/Not impossible

The tax free case over 25% would only apply to pre-2006 pensions that gained transitional relief at that year.    Individual transfers would lose it.
Access to pensions before age 55 would only apply to protected schemes. 

Dandytf

Thanks mser's
2-3 forms to return via Lfs and I've requested rbs start request.
Once next few weeks pass, it can continue as rbs stocks perform.
Hopefully interesting next immediate years!