DIY Pensions for a Limited Company?

[northernladuk]

Care to explain? It's the 101 in my opinion.

So a newbie is going to know what bond risk appetite they want? They are going to know what to skip and what to put their money in and know what beats a passive/tracker fund. The keyword you are missing in 'newbie'.

It is 101 to you but the advice isn't aimed at you is it.

[jmann]

I know most people recommend interactive investor for SIPP due to low cost but it seems HL provides discount on funds ongoing charge. Am I missing something?

CF Lindsell Train UK Equity (Class D) Accumulation Fund Price & Information
CF Lindsell Train UK Equity Acc Fund Factsheet (L532 L5F31 ADLIND @GB:7:L532) | Interactive Investor

HL Ongoing Charges: 0.52%
III Ongoing Charges: 0.71%

[Fred Bloggs]

I know most people recommend interactive investor for SIPP due to low cost but it seems HL provides discount on funds ongoing charge. Am I missing something?

CF Lindsell Train UK Equity (Class D) Accumulation Fund Price & Information
CF Lindsell Train UK Equity Acc Fund Factsheet (L532 L5F31 ADLIND @GB:7:L532) | Interactive Investor

HL Ongoing Charges: 0.52%
III Ongoing Charges: 0.71%

You have to do the sums. For most people, the cost at HL will be 0.52 + 0.45 = 0.97%. At II it is a real 0.71% plus their flat rate fee. So the bigger your pot, the more you save at II.

[DallasDad]

Some observations re II

The IOS apps are a bit flaky well mine bomb out regularly on both Phone and Ipad.

The online secure messaging system is somewhat primitive.

The two pension transfers I have attempted are proving tedious! I have ended up playing the middle man between II and the Provider but that's probably the nature of the beast with any Sipp provider.

The worst thing though are their forms > PDFs > no ability to complete them online and print. Some of the fields e.g for addresses are stupidly small the EOW form especially so.

I ended up using sites like PDFescape - Free PDF Editor & Free PDF Form Filler to create a set of masters with all my default info in.

The beta site looks more promising. single sign on etc.

I love the Portfolio Net worth view.

[SueEllen]

Some observations re II

The IOS apps are a bit flaky well mine bomb out regularly on both Phone and Ipad.

The online secure messaging system is somewhat primitive.

The two pension transfers I have attempted are proving tedious! I have ended up playing the middle man between II and the Provider but that probably the nature of the beast with any Sipp provider.

The worst thing though are their forms > PDFS > no ability to complete them online and print. Some of the fields e.g for addresses are stupidly small the EOW form especially so.

I ended up using sites like PDFescape - Free PDF Editor & Free PDF Form Filler to create a set of masters with all my default info in.

The beta site looks more promising. single sign on etc.

I love the Portfolio Net worth view.

HL were easy to transfer a pension to.

They have strict ID requirements but that's a good thing.

[Fred Bloggs]

I have commented before, HL's website is pretty much state of the art, where II's is a fairly late 90's experience. But, it works and everything is there that you need. I would prefer to keep the GBP 120 a month I was paying to HL and use II's website.

Besides that, HL's website is fully available to non account holders for everything except on line trading anyway.

[cojak]

There should be a sticky post for this to make it super easy for newbies.

1. Open SIPP with a fund supermarket
3. Decide on your bond:equity risk appetite
2. Invest in a global tracker such as vanguard lifestrategy

Skip the redundant retail IFAs. They are only worth your time and money if you are a high net wealth customer and literally have millions to preserve.
Skip any managed funds because over the long term (i.e. a pension) they do worse than passive / tracker funds.

Good idea.

Also take a look at this http://forums.contractoruk.com/accou...unmanaged.html

And this http://forums.contractoruk.com/accou...ributions.html

And this http://forums.contractoruk.com/accou...n-pension.html

http://forums.contractoruk.com/accou...going-fee.html

[FarmerPalmer]

The two pension transfers I have attempted are proving tedious! I have ended up playing the middle man between II and the Provider but that's probably the nature of the beast with any Sipp provider.
.

They do use a middleman for transfers but it was mainly painless.

The issues have been with the companies that we were transferring from (myself and my wife).

We transferred from 4 pension providers, Aegon, L&G, Prudential and Virgin.

Speed of transfer in that order, in fact pretty spot on for the times quoted in this article:

https://www.ftadviser.com/2015/06/15...L/article.html

[DallasDad]

To date they have been pretty useless managing my two transfers
One is finally complete after I had to take over the comms with the existing provider

The 2nd is a farce iii only needed to sign and return a form to me - weeks have gone by, I suspect they have lost it!

I think I made the mistake of including detailed instructions in a covering letter with their forms and related existing provider paperwork for two transfers in just one envelope.

[Zylon]

I know most people recommend interactive investor for SIPP due to low cost but it seems HL provides discount on funds ongoing charge. Am I missing something?

CF Lindsell Train UK Equity (Class D) Accumulation Fund Price & Information
CF Lindsell Train UK Equity Acc Fund Factsheet (L532 L5F31 ADLIND @GB:7:L532) | Interactive Investor

HL Ongoing Charges: 0.52%
III Ongoing Charges: 0.71%

As Fred said, do the math per case. From my research though for the funds I wanted, HL's discount was saving me max 0.1% whereas they charged around 0.25% more platform fees. So it clearly wasn't worth going with them.

I opt for tracker funds though which are low cost to begin with. If you choose actively managed funds with higher fees then you could perhaps save enough from the fund to outweigh the extra HL platform fees.

But as others have said, active funds are pretty much a gamble, with higher fees - lowering your returns long-term.