Pension Advice
Discussion
colinrob said:
Hi all anyone know a good adviser, I am 52 have 5 personal pensions and want to convert them all into a SIPP total fund only £91000 no one seems to be interested any help would be very much aprecciated Thanks Colin
Colin,Do you *need* a SIPP? £91k will get you a decent rebate from most personal pension providers, and will be far cheaper than a SIPP.
Also, if you're close to taking benefits, make sure that your intended new provider is ready to work with new regulations. Many SIPP providers are behind the curve. If you have small pots, do you intend to take three of them (if they're small enough) as single lump sums? If you want to do that in a few years, is it an idea to keep them whete they areat the moment and instead, look at saving money by reviewing fund choice?
You'll get a swathe of great responses I'm sure, but if you need a steer, please don't hesitate to drop me a line.
Ginge R said:
Do you *need* a SIPP? £91k will get you a decent rebate from most personal pension providers, and will be far cheaper than a SIPP.
Can you expand on charges and why going with a personal pension is better value than SIPPsThere are companies offering SIPP with less than 0.5% annual charge and rebates
Jon1967x said:
Can you expand on charges and why going with a personal pension is better value than SIPPs
There are companies offering SIPP with less than 0.5% annual charge and rebates
Jon,There are companies offering SIPP with less than 0.5% annual charge and rebates
Are you referring to supermarket provider charges? Don't forget that there are additional charges to pay to the fund manager, dealing charges, annual standing charges, exit charges etc etc.
What I was talking about was the fee for buying and holding a personal pension. Forget advice charges, you can get a personal pension, all in, for about 0.4%. An equiv proposition, such as Old Mutual, can be had (from 1 Jan, with no annual standing charge) for a lot less too.
Platforms and supermarkets eye a particular market segment - what works for one client, with one particular provider, might not work for the other.
Jon,
You are absolutely correct in your final analysis. But if a client was suitably modest in need and objective, no competent adviser in their right mind would seek to jeapordise outcomes by creating a hurdle created by combining a poorly considered and needlessly expensive personal pension proposition with an pointlessly and unjustifiably expensive series of funds.
If the client's needs were sufficiently sophisticated anyway, that only a SIPP/SSAS etc would suffice, cost almost becomes a secondary issue.
Like for like, an appropriately spec'd PP will always be more suitable for the vast majority of retail clients. A needlessly expensive fully loaded PP is like ticking the options list for absolutely everything in the cooking pot intro model in the Fiat 500 brochure when all you need is something to collect the shopping from town once a week. A SIPP for a modest client is like selling them a Ferrari to do same.
You are absolutely correct in your final analysis. But if a client was suitably modest in need and objective, no competent adviser in their right mind would seek to jeapordise outcomes by creating a hurdle created by combining a poorly considered and needlessly expensive personal pension proposition with an pointlessly and unjustifiably expensive series of funds.
If the client's needs were sufficiently sophisticated anyway, that only a SIPP/SSAS etc would suffice, cost almost becomes a secondary issue.
Like for like, an appropriately spec'd PP will always be more suitable for the vast majority of retail clients. A needlessly expensive fully loaded PP is like ticking the options list for absolutely everything in the cooking pot intro model in the Fiat 500 brochure when all you need is something to collect the shopping from town once a week. A SIPP for a modest client is like selling them a Ferrari to do same.
Jon1967x said:
Thanks and that's pretty much what I thought if I understand you correctly Both private pensions and SIPPS can be cheap or expensive depending who you use, it sounded from your posts that a PP would be cheaper which is not necessarily true.
Jon, me old China, if you want an uncomplicated cost-effective Pension then there's nowt wrong with a PP. I've run several for years.I'm in the process of changing to a SIPP because I want to look seriously at Commercial Property. This has come with costs in excess of £30k but the returns will be phenomenally greater than those of a PP.
It really depends what you want from your pension vehicle, matey
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