Pension

20122013

I have a work place pension with Scottish Widow, Would anyone mind sharing what is the average expected return (low, medium, high)? and fees they pay platform and fund manager fees, please?

QrizB

I've got a piece of string.

Has anyone else got a piece of string? How long is it?

dunstonh

20122013 said:

I have a work place pension with Scottish Widow, Would anyone mind sharing what is the average expected return (low, medium, high)? and fees they pay platform and fund manager fees, please?

If it's the Scottish Widows platform (which is unlikely), then they have around 30,000 investment options.   So, a very wide range of possible outcomes.

If it's a Scottish Widows group personal pension, then there will be fewer options (100 or so).  If it's the Scottish Widows group statekholder pension, then it's about 30 choices.   If its the ex Zurich Auto-enrolment scheme then choice is quite limited.

The charges on the GPPP, GSHP and AE scheme would be negotiated with the employer based on the expected assets under management.

SW also have Company pension schemes on their books. Less common but they do exist.  They are bespoke.

Returns are impossible to say as the range is so wide.  For example 50% equities/50% bonds (purely on asset mix rather than a specific fund) had a worst case year of -17%, median of 8% and maximum of 51%.    So, somewhere between -17% and 51% would be your answer.

20122013

dunstonh said:

20122013 said:

I have a work place pension with Scottish Widow, Would anyone mind sharing what is the average expected return (low, medium, high)? and fees they pay platform and fund manager fees, please?

If it's the Scottish Widows platform (which is unlikely), then they have around 30,000 investment options.   So, a very wide range of possible outcomes.

If it's a Scottish Widows group personal pension, then there will be fewer options (100 or so).  If it's the Scottish Widows group statekholder pension, then it's about 30 choices.   If its the ex Zurich Auto-enrolment scheme then choice is quite limited.

The charges on the GPPP, GSHP and AE scheme would be negotiated with the employer based on the expected assets under management.

SW also have Company pension schemes on their books. Less common but they do exist.  They are bespoke.

Returns are impossible to say as the range is so wide.  For example 50% equities/50% bonds (purely on asset mix rather than a specific fund) had a worst case year of -17%, median of 8% and maximum of 51%.    So, somewhere between -17% and 51% would be your answer.

Appreciate the detailed reply and try to understand what I was trying to ask, 

I had (2?) work place pension from 1998 - 2003 initally my ex employer was honoring  only 2003 but I managed to' get it back dated', contributions was only made during those years and left it until 2011. Then I asked my ex IFA to review my 2 'work place'?  pensions (not sure whether they are both called work place pension),  One was AXA Sunlife. I am watiing for SW to see whether they have these records. I think I have limited fund choices om SW,

I had asked about what percentage return so I can plan whether to move it or not. As reading other posters it seems 5% maybe at the lower end.

Albermarle

I have an ex Zurich workplace pension that was sold to SW when Zurich sold off this side of their business
However it seems to be run separately as only the logos on the website changed and the funds were relabelled SW.
Very low charges but it is associated with a very large employer . Clunky website but I put up with that for the 0.1% platform fee and many funds also 0.1% ( about 100 to choose from ) .

Ocelot

Do you know the funds?

You can check their performance on the FT:

ie

https://markets.ft.com/data/funds/tearsheet/charts?s=GB00B597YZ99:GBP

20122013

Ocelot said:

Do you know the funds?

You can check their performance on the FT:

ie

https://markets.ft.com/data/funds/tearsheet/charts?s=GB00B597YZ99:GBP

Appreciate this -  I have just found the  list of funds (it seems SW promotes their 'managed funds') and will use your link to find out more.

How does 0.35% platform fee compare other platform?  as not sure whether to move out of SW a fair bit to look into.

PS  just in case you were wondering I had removed my previous message / post before / during your reply.

bjorn_toby_wilde

I moved out of an SW workplace pension because of the limited fund choice, clunky website, etc. to AJ Bell.  I don’t remember what the SW charges were but my AJ Bell platform fee is 0.25%

jimjames

20122013 said:

dunstonh said:

20122013 said:

I have a work place pension with Scottish Widow, Would anyone mind sharing what is the average expected return (low, medium, high)? and fees they pay platform and fund manager fees, please?

If it's the Scottish Widows platform (which is unlikely), then they have around 30,000 investment options.   So, a very wide range of possible outcomes.

If it's a Scottish Widows group personal pension, then there will be fewer options (100 or so).  If it's the Scottish Widows group statekholder pension, then it's about 30 choices.   If its the ex Zurich Auto-enrolment scheme then choice is quite limited.

The charges on the GPPP, GSHP and AE scheme would be negotiated with the employer based on the expected assets under management.

SW also have Company pension schemes on their books. Less common but they do exist.  They are bespoke.

Returns are impossible to say as the range is so wide.  For example 50% equities/50% bonds (purely on asset mix rather than a specific fund) had a worst case year of -17%, median of 8% and maximum of 51%.    So, somewhere between -17% and 51% would be your answer.

I had asked about what percentage return so I can plan whether to move it or not. As reading other posters it seems 5% maybe at the lower end.

Return in isolation shouldn't be the reason to move, poor fund choice and high charges would be on my list for wanting to do so

20122013

jimjames said:

Return in isolation shouldn't be the reason to move, poor fund choice and high charges would be on my list for wanting to do so

Both, I have found their 80r+ funds (self managed) hidden somewhere and have to go back and forth just to look at the funds, as jimjames stated.

I am reluctant as I have to sell all the funds into cash and then ask the new provider to transfer out as cash. I have a global tracker index fund and thinking what do most people who have 10 years will choose for the pension fund ?  I was thinking Bond / Multi asset fund but then I can get that outside of my pension plan. I was going to move to SIPP (I need to know more about it) if SW have a low cost tracker or similar I might switch  from 9 funds to a few funds for now.

20122013

I have read about different approaches on future / retirement planning and most posters have draw down plans eg how to bridge the gap between retirement and state pensions etc..  Maths is not my strong point so it all seems complicated but worth the effort to me. However, I am wondering whether these plans will apply to me, as my SW personal / work place pension value is less than £100K and I thought I had a (small) NHS Pension but I don't, as my contributions had been frozen as I was just under the qualifying years to join the scheme. 

I have not worked since 2012 so no work income, and made my first £2880 pension contribution last tax year. I think I should contribute my £2880 for this tax year until I decide to draw my pension.

 

As I do not know what the future pension rules are. As the value has been more a less the same for the past 4 years (with high fees).

I wonder whether I should withdraw it as soon as I can or leave my pension invested and keep making the £2880 pa contribution? 

Previously, I was planning not to access it for 10 + years and I was thinking to move it out of SW but I will  need to sell down into CASH (but with the current market, it would be £13K loss).  While I am working out whether to transfer out this Pension, shall I switch all my current high cost and below average funds to 1 - 3 funds below (still have FM fees to pay)? As I have already hold the HSBC FTSE All World Index Class C, is it wise to switch to  a similar fund which is

Scottish Widows Global Equity CS8     BMRRZM4     0.1% OCG
     
or switch to these funds?

Scottish Widows Pension Portfolio One CS8  BMRS259  0.1% OC

SW SSGA 50:50 Global Equity Index CS8     BMRS174    0.1% OC  

Scottish Widows Balanced Portfolio CS8    BMQDN74   0.230% OGC

SW BNY Mellon Global Balanced CS8  BMQDK62  0.550% OGC

Scottish Widows Balanced Solution CS8    BMRS2T3  0.844%  OGC

Appreciate your thoughts.