Discussion
Well I now have a response from my FA and it seems that I was mistaken regarding the fees. The reduction in yield still looks high though:-
[i]
[The charges for the Standard Life plan will vary depending upon the fund selections used, the charges are not separated out as this plan was arranged prior to the current set of rules but expressed as one overall charge. We have a range of internal and external funds and have included some multi manager options, the current reduction in yield quoted is 1.3% per annum, our adviser charge is 0.2% per annum. There are no exit penalties, the full value of your funds would be transferred to a new provider if you wish to proceed with a transfer.
Your Standard Life plan uses a drip feed drawdown system to provide you with your regular payments. Part of these payments is taxable income and part tax free cash as your funds are moved from the pre-retirement pot to the post-retirement drawdown pot each month depending upon the balance of payment needed. This creates a tax efficient income stream and also maximises death benefit options. Not many providers are able to offer this process as a monthly automatic phasing which is one of the reasons I selected Standard Life. If you do transfer to an online trading system I would suggest you check the process for providing your regular payments and whether any changes may be needed to your strategy[/i]
Any further thoughts?
Thanks for the responses to date.
[i]
[The charges for the Standard Life plan will vary depending upon the fund selections used, the charges are not separated out as this plan was arranged prior to the current set of rules but expressed as one overall charge. We have a range of internal and external funds and have included some multi manager options, the current reduction in yield quoted is 1.3% per annum, our adviser charge is 0.2% per annum. There are no exit penalties, the full value of your funds would be transferred to a new provider if you wish to proceed with a transfer.
Your Standard Life plan uses a drip feed drawdown system to provide you with your regular payments. Part of these payments is taxable income and part tax free cash as your funds are moved from the pre-retirement pot to the post-retirement drawdown pot each month depending upon the balance of payment needed. This creates a tax efficient income stream and also maximises death benefit options. Not many providers are able to offer this process as a monthly automatic phasing which is one of the reasons I selected Standard Life. If you do transfer to an online trading system I would suggest you check the process for providing your regular payments and whether any changes may be needed to your strategy[/i]
Any further thoughts?
Thanks for the responses to date.
Mr Trophy said:
BC,
Could I trouble you to let me / us know the funds you're currently in?
Sure, what bothers me is that ALL of these funds are Standard Life:-Could I trouble you to let me / us know the funds you're currently in?
My Folio Market 111 Pension Fund
M&G Optical Income Pension Fund
North American Equity Pension Fund
M&G Global Dividend Pension fund
Threadneedle American Select PF
Invesco Perpetual Corporate Bond
SLI UK Opportunities
SL My Folio Multi Manager 111
SL Individual Property
SLI Global Absolute Return Strategies
SL UK Equity High Income
The same funds are held as pre and post pension if that helps?
BC,
I imagine that you either have not a lot under management and are very 'light touch' or your wealth is such that the adviser feels able to drop his pants and inclines towards volume at the expense of yield. Advisers cross subsidising their clients is frowned upon but that is incredibly cheap unless one of those extreme possibilities about you applies.
That RIY is quite good depending on how much wealth you have and I wouldn't comment on what you could do from here on in other than to ask your adviser if it's worthwhile updating your options. The start of this year saw a bit of a bun fight between platforms and providers and if you haven't reviewed matters for a while and if you have sufficient wealth and assets under management, then functionality and funds together can be had for not a lot.
In terms of drip-feed drawdown, your adviser is bang on. However, do you really need such sexy bells and whistles from a Standard Life SIPP if all you're doing is drawing money? Don't forget either, that pensions these days aren't what they used to be. And if you get on with and trust your adviser and the service he or she offers, then stick with 'em.
Edit: I've just seen your reply just now, yes - that fund allocation could be reviewed a little. Without knowing the disposition though, does it represent you as an investor first and foremost in terms of risk etc? At first glance, that general look may imply a spicy attitude, dependent on the % allocation. They aren't all Standard Life mind.
I imagine that you either have not a lot under management and are very 'light touch' or your wealth is such that the adviser feels able to drop his pants and inclines towards volume at the expense of yield. Advisers cross subsidising their clients is frowned upon but that is incredibly cheap unless one of those extreme possibilities about you applies.
That RIY is quite good depending on how much wealth you have and I wouldn't comment on what you could do from here on in other than to ask your adviser if it's worthwhile updating your options. The start of this year saw a bit of a bun fight between platforms and providers and if you haven't reviewed matters for a while and if you have sufficient wealth and assets under management, then functionality and funds together can be had for not a lot.
In terms of drip-feed drawdown, your adviser is bang on. However, do you really need such sexy bells and whistles from a Standard Life SIPP if all you're doing is drawing money? Don't forget either, that pensions these days aren't what they used to be. And if you get on with and trust your adviser and the service he or she offers, then stick with 'em.
Edit: I've just seen your reply just now, yes - that fund allocation could be reviewed a little. Without knowing the disposition though, does it represent you as an investor first and foremost in terms of risk etc? At first glance, that general look may imply a spicy attitude, dependent on the % allocation. They aren't all Standard Life mind.
Edited by Ginge R on Tuesday 15th July 21:19
Ginge R said:
Jockman said:
Bit of a difference in charges !!!! If your Adviser ever conducts a review, I've just gone in to the following funds...
Neptune Latin America
Neptune Russia & Greater Russia
Templeton Frontier Markets
Neptune Japp Opps
...hold on tight
Holy..Neptune Latin America
Neptune Russia & Greater Russia
Templeton Frontier Markets
Neptune Japp Opps
...hold on tight
I suppose I better keep quiet about Henderson Global Technology and Cavendish Technology (for the wife) too
I blame Gorgeous George for giving the 2 of us that extra £6240 in allowances. It gave me brain fog and completely mushed my thought processes.
At least JPM Natural Resources has just risen
Ginge - the full list between the wife and I at the moment....
Axa Framlington Biotech
Aberdeen Property Share
Cavendish Technology
Henderson Global Technology
IP Euro Opps
IP Global Opps
IP Hong Kong & China
IP Jap Smaller Cos
IP UK Aggressive
IP UK Growth
JPM Euro Dynamic
JPM Euro Smaller Cos
JPM Natural Resources
JPM US Smaller Cos
Legal & General UK Alpha Trust
Legg Mason Japan
Neptune Emerging Markets
Neptune Jap Opps
Neptune Latin America
Neptune Russia & Greater Russia
R&M UK Unconstrained
Templeton Frontier Markets
What do you think ??? Scarey or what !!! Live a little....lose a lot !!
The entire portfolio is up, as many were taken out a while ago - you can see the ones I've invested in recently as they fell out of favour and I'm hoping for a bounce back. Duplications are where the wife has one, I have t'other.
We continually say past performance is no guide for the future...then everyone pours back into Woodford's Ego Fund
Tbh I've put my grandson into Woodford's Fund, but he is only 3 years old
Axa Framlington Biotech
Aberdeen Property Share
Cavendish Technology
Henderson Global Technology
IP Euro Opps
IP Global Opps
IP Hong Kong & China
IP Jap Smaller Cos
IP UK Aggressive
IP UK Growth
JPM Euro Dynamic
JPM Euro Smaller Cos
JPM Natural Resources
JPM US Smaller Cos
Legal & General UK Alpha Trust
Legg Mason Japan
Neptune Emerging Markets
Neptune Jap Opps
Neptune Latin America
Neptune Russia & Greater Russia
R&M UK Unconstrained
Templeton Frontier Markets
What do you think ??? Scarey or what !!! Live a little....lose a lot !!
The entire portfolio is up, as many were taken out a while ago - you can see the ones I've invested in recently as they fell out of favour and I'm hoping for a bounce back. Duplications are where the wife has one, I have t'other.
We continually say past performance is no guide for the future...then everyone pours back into Woodford's Ego Fund
Tbh I've put my grandson into Woodford's Fund, but he is only 3 years old bad company said:
Mr Trophy said:
I've just dumped it all into Neil Woodford 
Is he really. That good? So, if I make money fair enough, but I don't, then I don't.
Alot of people got crazy for a new funds and alot of people going crazy for Woodford, so I just thought - sod it.
I'll let you know if it's any good, however, currently I've made a few quid
Thought I would bump this thread for an update. My FA is moving my SIPP from Standard Life to Aviva as apparently SL have a restricted number of funds available and Aviva offer more.
While reviewing all this I am starting to think about my drawings. I am currently drawing 3.2% which on the low side to me. What would a reasonable % be? Obviously I want to draw enough to do what I want but on the other hand I would hate to get 'old & poor'.
While reviewing all this I am starting to think about my drawings. I am currently drawing 3.2% which on the low side to me. What would a reasonable % be? Obviously I want to draw enough to do what I want but on the other hand I would hate to get 'old & poor'.
bad company said:
Thought I would bump this thread for an update. My FA is moving my SIPP from Standard Life to Aviva as apparently SL have a restricted number of funds available and Aviva offer more.
While reviewing all this I am starting to think about my drawings. I am currently drawing 3.2% which on the low side to me. What would a reasonable % be? Obviously I want to draw enough to do what I want but on the other hand I would hate to get 'old & poor'.
BC, did your IFA give you anymore reason's for the move? Is he charging you a percentage to the move the fund value and changing the on-going rate?While reviewing all this I am starting to think about my drawings. I am currently drawing 3.2% which on the low side to me. What would a reasonable % be? Obviously I want to draw enough to do what I want but on the other hand I would hate to get 'old & poor'.
Mr Trophy said:
BC, did your IFA give you anymore reason's for the move? Is he charging you a percentage to the move the fund value and changing the on-going rate?
No there is no charge to move the funds. The ongoing rate is slightly cheaper but Mrs BC and I have large pensions and offshore trusts (Standard Life WRAP) so that's probably why.Does the drawing percentage seem reasonable?
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