Vanguard LifeStrategy SIPP

[superkartracer]

Morning ,

Looking for some advise please , i'm about to stick 80k in a SIPP and can't decide between Vanguard LifeStrategy 100 or 80 or even lower split , i'm looking at around 16 years before i use the £.

I already drip feed an ISA Vanguard LifeStrategy 100 and it's been interesting watching this grow/fall , but 80k is a good chunk of cash ( for me anyway ).

Help appreciated

Thanks
S

Edited by superkartracer on Monday 11th July 10:38

[Zoon]

You haven't actually asked any questions.
What do you want to know, worst 80k to invest thread ever?

[superkartracer]

I'm about to stick 80k in a SIPP and can't decide between Vanguard LifeStrategy 100 or 80.

Is 16 years long enough for investment into these funds regards the risk? , i'll be investing a lump sum , drip feeding a small amount each month and using accumulator fund ( over 16 years (( 100 or 80 ))

Edited by superkartracer on Monday 11th July 09:27

[Ozzie Osmond]

One can only feel enormous sympathy for anyone who struggles to save for retirement yet simply cannot afford to pay an independent financial adviser.

[megaphone]

Have you checked you are allowed to invest that much? Are you using previous years unused allowances?

[superkartracer]

Good point , doing a little reading last night and the min transfer amount is 55k so assume 80k is fine but need to check fee's etc .

[walm]

superkartracer said:

Good point , doing a little reading last night and the min transfer amount is 55k so assume 80k is fine but need to check fee's etc .

This sounds wrong.
What are you "transferring"?
If it is CASH into a brand new SIPP then most providers will take almost anything!!

The point I believe megaphone was making is that contributing to any pension has limits on how much you can contribute each year, which is additionally complicated by how much you earn and any carry forwards.

These are really basic issues which you SHOULD know about.

Personally, I think Ozzie is right - for £80k it would be worth getting IFA advice.
(I am not an IFA.)

[superkartracer]

walm said:

superkartracer said:

Good point , doing a little reading last night and the min transfer amount is 55k so assume 80k is fine but need to check fee's etc .

This sounds wrong.
What are you "transferring"?
If it is CASH into a brand new SIPP then most providers will take almost anything!!

The point I believe megaphone was making is that contributing to any pension has limits on how much you can contribute each year, which is additionally complicated by how much you earn and any carry forwards.

These are really basic issues which you SHOULD know about.

Personally, I think Ozzie is right - for £80k it would be worth getting IFA advice.
(I am not an IFA.)

These funds sit in a couple of old pensions ( i have another works pension running that i wont mess with ) , i was looking at a SIPP via Fidelity and using the LS ( as already have a LS 100 Acc ISA running ) . Yeah i guessed it would be basic stuff and only spent a few hours reading and looking to amass as much info as possible before moving stuff about.

For ref , the 16 years takes me to 55 , about the time i might semi-retire , i have other investments worth far more so was happy to take a bit of a risk on these pots of money.

https://www.fidelity.co.uk/investor/pensions/fidel...

• The minimum to transfer your pension in cash is £10,000. If you are transferring your existing pension funds the minimum is £50,000. This can be from one or more pension accounts.

[Jockman]

Ah, so you're recycling existing monies.

[walm]

Indeed, saying "80k is a good chunk of cash" was slighly mis-leading!!

Nevertheless, IFAs bread and butter is helping clients decide between 60,80,100% equity allocations.

[superkartracer]

Yeah it was a bit crap.

Thanks for advise , i'll have a poke around for a decent IFA.

[Mr Noble]

About 90 minutes ago, I was reading this blog post.

It would seem quite relevant to your thread Sir.

Here you go....

http://diyinvestoruk.blogspot.co.uk

[superkartracer]

Great stuff , thanks.

[Pheo]

You might also want to look at Monevator

NB: with a 16 year timeline personally I would probably be being more risk adverse than 80 or 100 LifeStrategy funds - I'm 31 investing for long term and I'm in LS80 (not a sipp).

So if you can't weather a storm ID be looking at 60 or 40 - unless if everything has gone to the wall you don't need to take the money.

[rotarymazda]

superkartracer said:

Morning ,

Looking for some advise please , i'm about to stick 80k in a SIPP and can't decide between Vanguard LifeStrategy 100 or 80 or even lower split , i'm looking at around 16 years before i use the £.

Edited by superkartracer on Monday 11th July 10:38

I have a similar timescale to plan for and went for 80% equities for now, reducing to 60% by the time I need it.

[Ozzie Osmond]

It's worth remembering that for many people "retirement" isn't the sudden one-off day that it used to be. Few people today "cash it all in and buy an annuity" on their 65th birthday.

The existence "flexible drawdown" avoids the risk of having to "cash it all in" at a time when the market has slumped.

It doesn't matter too much how much your pot is worth from one year to another so long as there is a sufficient income stream to cover your needs. Obviously this is a bit of a juggling exercise.

In my opinion, and this is purely a personal opinion, many people will decide to run a higher level of investment risk closer to retirement than was previously the case.

[walm]

Ozzie Osmond said:

In my opinion, and this is purely a personal opinion, many people will decide to run a higher level of investment risk closer to retirement than was previously the case.

Perhaps what you really mean is that with ZIRP annuity rates are so incredibly low that there is no choice but to run with risk in order to scratch even a measly living from your life savings.
Check out the equity rally since Brexit - TINA!!!!

[Ozzie Osmond]

walm said:

...annuity rates are so incredibly low that there is no choice but to run with risk in order to scratch even a measly living from your life savings.

Yup, that's the one!

[walm]

Ozzie Osmond said:

walm said:

...annuity rates are so incredibly low that there is no choice but to run with risk in order to scratch even a measly living from your life savings.

Yup, that's the one!