Mirroring IFA's advice

Brie

Following on from my previous thread (see below) I want to move on to a new idea I've had about how to deal with my pension funds.

OK - so IFA1 wasn't able to advise and his lack of commitment or investigation means I'm looking elsewhere for someone to help me with my 2 work pensions. (boring details below on the link)

I've talked to someone and explained the roadblocks I ran in to and so she's starting at the end and seeing what funds might accept me.  If there are the same roadblocks and lacks I shall move on again.

But meanwhile we've had an initial chat about what I might like to do with my funds.

fyi - they are 2 DC work pensions which, I believe, I need to move elsewhere in order to get hold of the money.  At least that seems the only option with the larger fund (£120k+).  The smaller fund (under £30k) can, I believe, be taken in drawdown or moved with the large fund or moved elsewhere.

Given the fees involved with advice etc I wondered about not officially taking advice on my smaller fund.  There's a flat rate fee (£400 I believe) to investigate each fund and then there's a percentage charged for managing it plus a percentage dependent on where the fund actually lives.  I expect to get specific details in a day or 2.  

So if I only get the IFA to deal with the large fund there will obviously be a lower amount charged.  I am wondering if I could then move my smaller fund into an investment fund (SIPP or ISA) and mimic what is happening with the larger fund.  So if the IFA moves ££ from the large fund to a specific global fund or whatever I then do a similar move in the smaller fund myself.  I'm considering that this would be money that would get used over the next few years while the larger fund remains invested for now.

Hopefully that makes sense.  And so the question is - do others do this?



fyi - in receipt of full SP, have a small DB that is being paid, a tiddly non UK SP that is being paid.  I also have a small p/t job which I intend to back out of over the coming year.  By this time next year my OH will also be in receipt of a nearly full SP plus some other pension ££.  

non UK citizens can't have pension funds — MoneySavingExpert Forum

Marcon

Brie said:

fyi - they are 2 DC work pensions which, I believe, I need to move elsewhere in order to get hold of the money.  At least that seems the only option with the larger fund (£120k+).  The smaller fund (under £30k) can, I believe, be taken in drawdown or moved with the large fund or moved elsewhere.

You say you 'believe'. Wouldn't establishing whether or not that is true for one or both funds be the best starting point - and there's nothing to stop you checking that direct with the two pension plans?

Brie

Marcon said:

Brie said:

fyi - they are 2 DC work pensions which, I believe, I need to move elsewhere in order to get hold of the money.  At least that seems the only option with the larger fund (£120k+).  The smaller fund (under £30k) can, I believe, be taken in drawdown or moved with the large fund or moved elsewhere.

You say you 'believe'. Wouldn't establishing whether or not that is true for one or both funds be the best starting point - and there's nothing to stop you checking that direct with the two pension plans?

Yes of course and it's on my to-do list (along with too much else!).   Just trying to think through all the options while I go along.