PAL Sipp & Brooks Macdonald Asset Management

Retired_I.F.A.

I did not mean arranging the sale of I said as far as I knew advising on the sale of such can be done by an IFA still which you stated cannot.

EdInvestor

IFAs are not regulated for giving advice on shares or investment trusts.So if you want to buy these you need to go to a stockbroker.

Retired_I.F.A.

IFAs are not regulated for giving advice on shares or investment trusts

.

I quite fancy a bet your wrong . Care to prove it Ed?

purch

Can anyone comment on this method of investing funds in a SIPP wrapper

I cannot understand why anyone would consider doing this, unless they were absolutely certain that the exorbitant fees were going to guarantee a much higher return on the investment.

The S stands for Self, and if you are going to pay someone else to make the decisions you had better be pretty certain that they are going to earn the money.

If you are not comfortable making the Investment decisions yourself, then using the full Fund choices of most good Personal Pensions could easily do just as good or even a better job for you.

balooney2000

purch wrote: »

I cannot understand why anyone would consider doing this, unless they were absolutely certain that the exorbitant fees were going to guarantee a much higher return on the investment.

The S stands for Self, and if you are going to pay someone else to make the decisions you had better be pretty certain that they are going to earn the money.

If you are not comfortable making the Investment decisions yourself, then using the full Fund choices of most good Personal Pensions could easily do just as good or even a better job for you.

It sounded the best of both worlds - I benefit from the experience of those who are involved daily with the business of investment and am able to benefit from the tax benefits of a SIPP.

balooney2000

EdInvestor wrote: »

Have you checked which of these funds are available in your existing St Life pension? I think you'll find many of them are available, and thus all you would need to do is switch the money over to the new funds within the same pension , which would cost you nothing.

Here's the full list of StL pension funds

It starts at no 4990. Over the page you'll find Invesco Perpetual High income ( top fund on the new suggested list) at no 5096. Many other quality funds there.

Now I wonder why your IFA isn't suggesting that you just rearrange the investment within the existing pension? Could it be because he would make no money by doing so?

I think I may have misinformed people - My pension pot with Std Life is a personal pension plan invested in their cautious managed S1 fund. I also thought that this only gave me a single option of purchasing an annuity whereas the SIPP gave me other options.

jem16

Retired_I.F.A. wrote: »

.

I quite fancy a bet your wrong . Care to prove it Ed?

Dunstonh says the same thing as Ed;


http://forums.moneysavingexpert.com/showpost.html?p=10717691&postcount=7

EdInvestor

balooney2000 wrote: »

I think I may have misinformed people - My pension pot with Std Life is a personal pension plan invested in their cautious managed S1 fund.

Yes, but there are hundreds of other funds to coose from: you are not required to invest only in the cautious managed S1 fund. You should divide up your money between 10 funds in different sectors, with the overall strategy matching your attitude to risk.

I also thought that this only gave me a single option of purchasing an annuity whereas the SIPP gave me other options.

Not at all - it's irrelevant what pension you use, at retirement if you want to move to a drawdown rather than an annuity, you just move to a different provider.As it happens Standard Life has a very popular SIPP which is cheaper than the one your IFA is suggesting, and which would offer you that option either now or later.

Not that there is any reason to move to the SIPP now - just choose a better and larger selection of funds in your existing PP.

Retired_I.F.A.

Had you and whoever sold you the standard LIfe plan in the first place kept in touch and eviewed the plan say yearly then you would have been made aware of this long ago. Furthermore had that person been a 1/2 decent sort and you were looking at drawdown now he would have switched you into standard Lifes or whoevers drawdown plan at a reduced if any rate as he had been paid once on the pension pot already.

Retired_I.F.A.

jem16 wrote: »

Dunstonh says the same thing as Ed;

No he did not.

from you link Dunstonh said:

IFAs are not allowed to recommend quoted stocks.

Advising folks about stocks and shares is a part of daily life for an IFA what do you think an equity fund is for instance?

IFA's are not allowed to recommend individual shares be bought nor are they allowed to deal them. That is the role of a stockbroker as Ed stated correctly. However, take the scenario where say a pensioner with only the basic state pension tells an IFA he has just inherited fifty thousand in shares, and that he hates risk and would much prefer a guaranteed annuity.
Any IFA who does not advise that guy to sell the shares and use the proceeds to buy an annuity is failing to give best advice as is his duty as an IFA.

Ed in her everlasting quest to paint all IFA's as cowboys stated:

IFA's are not regulated for giving advice on shares or investment trusts

You may think I'm nit picking here but Ed knows full well she is wrong and her only intent was to belittle IFA's as is her hobby.

She would not put her money where her mouth is would she ?