IFA wanting to change pension funds

[AlRaven]

My IFA is leaving the financial advice company he has worked with for 7 years where he had my pension managed by Old Mutual who are well known. He's now moving to a new provider and obviously he wants to take my funds with him to the new provider True Potential who I don't know at all.

So question is, how do I do sufficient due diligence on the new firm? They are listed with FCA as authorised but I'm guessing there's a lot more research I should be doing?

[Derek Chevalier]

AlRaven said:

My IFA is leaving the financial advice company he has worked with for 7 years where he had my pension managed by Old Mutual who are well known. He's now moving to a new provider and obviously he wants to take my funds with him to the new provider True Potential who I don't know at all.

So question is, how do I do sufficient due diligence on the new firm? They are listed with FCA as authorised but I'm guessing there's a lot more research I should be doing?

I've heard of them, if he is joining their advice arm it's worth bearing in mind that he will no longer be independent - that may or may not be important to you.

https://www.ftadviser.com/platforms/2018/09/03/tru...

[JulianPH]

True Potential are a well established firm, so you have nothing to worry about on this front.

These days they do seem to push their advisers down routes that are better for them than their clients though.

I would ask serious questions about any pension movement and why the advice is changing. I would then question all the advisory charges you have been paying for advice that only changes in line with your adviser's move.

None of what you have posted seems to be the action of an independent financial adviser. It sound more like it is in the best interest of the adviser, rather than you.

[JulianPH]

anonymous said:

[redacted]

That is very much my own experience and I agree fully that Derek is one of the exceptions, as is an Scottish based adviser to another PHer we spoke to yesterday.

OP - I forgot to say the True Potential Platform is also very expensive for an IFA platform at 0.45% a year, then your fund costs. So any move is likely to increase your pension charges. This is obviously not a good thing.

We see typical pension charges with TP advisers total between 2% to 3% a year. To put this in context our total annual pension charge is 0.87% a year. I would be asking your adviser some probing questions...