This leaves me (and many others no doubt) in a real quandary, as there's no other fund like Global Equity Select. It is genuinely differentiated. I bought it over 3 years ago and it's been superb, whether the market has been going up or down. Time to review and most likely trim or sell.
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
Tel, please message me if there's anything useful to tell. I was always confident that I could do a better job than the "experts" after charges. Obviously it wasn't an option at first and then my personal heath issues last year meant I decided that it was best to leave for the time being. Now I'm ok, I'm thinking about transferring it out and managing it myself, especially if I can't get a reduction in charges. I'm paying 1.9% pa. I'm not sure how long the pension had to remain with the IFA after transfer?
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
That seems like really really bad performance and expensive fee's. My SIPP is up nearly 27% in that period, whilst I manage it myself the platform fee is circa 0.08% and portfolio cost 0.14%.
How on earth is yours up by less than 1%?
An S&P 500 Tracker would be up 29% An FTSE100 Tracker 16% Even something like Vanguards Lifestyle 80% would be up 12%
I can only assume you are heavily into bonds and gilts?
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
Tel, please message me if there's anything useful to tell. I was always confident that I could do a better job than the "experts" after charges. Obviously it wasn't an option at first and then my personal heath issues last year meant I decided that it was best to leave for the time being. Now I'm ok, I'm thinking about transferring it out and managing it myself, especially if I can't get a reduction in charges. I'm paying 1.9% pa. I'm not sure how long the pension had to remain with the IFA after transfer?
As far as I remember mate there is no time limit as to when you can move your funds out. One of the, many, reasons I avoided SJP. I believe you can also opt to drop the ongoing advice and therefore that fee too. Worth asking.
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
That seems like really really bad performance and expensive fee's. My SIPP is up nearly 27% in that period, whilst I manage it myself the platform fee is circa 0.08% and portfolio cost 0.14%.
How on earth is yours up by less than 1%?
An S&P 500 Tracker would be up 29% An FTSE100 Tracker 16% Even something like Vanguards Lifestyle 80% would be up 12%
I can only assume you are heavily into bonds and gilts?
I retired at 55 @Rob7Lee been in drawdown since November 2021. I appreciate therefore that our investment mix is likely different with bonds/gilts at c.22.5% of the portfolio. As I mentioned, it began to recover from November last year and is up 9.6% since then.
That said, I do agree with you that they could be doing better, but I suspect that requires me to request a shift in my portfolio to what would be termed a “riskier” mix.
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
That seems like really really bad performance and expensive fee's. My SIPP is up nearly 27% in that period, whilst I manage it myself the platform fee is circa 0.08% and portfolio cost 0.14%.
How on earth is yours up by less than 1%?
An S&P 500 Tracker would be up 29% An FTSE100 Tracker 16% Even something like Vanguards Lifestyle 80% would be up 12%
I can only assume you are heavily into bonds and gilts?
I retired at 55 @Rob7Lee been in drawdown since November 2021. I appreciate therefore that our investment mix is likely different with bonds/gilts at c.22.5% of the portfolio. As I mentioned, it began to recover from November last year and is up 9.6% since then.
That said, I do agree with you that they could be doing better, but I suspect that requires me to request a shift in my portfolio to what would be termed a “riskier” mix.
It still should be doing much much better if you only have just over 1/5th in bonds/gilts. You could honestly pick a 80/20 fund like Vanguard (so 20% bonds and gilts) and make 12x. What's the other 80% in? Even a 60/40 fund (so 40% bonds/gilts) is up 5% in that time, all with less charges as well!
I would honestly be questioning what it is you are getting for your 0.75% plus platform and portfolio cost. They aren't even matching basic lifestyle funds in performance.
FWIW, just checked as I do trade funds from time to time so the mix isn't static, but broadly I've had about 10% in bonds or gilts in that time.
Been a while since I've been in the top 3. FWIW, I think this is a breakout and, whilst they'll be twists and turns, the FTSE will be well up by the end of the year now. I'm still sticking to FTSE250 though.
On another note, I had a nice breakdown of all the costs, fees and charges that hit my SIPP account from Interactive brokers in the last tax year. Even including spreads, the total annual costs, all in were 0.25%. And even that was 80% covered by interest payments. On top of that, I have to pay a flat £400 to a SIPP administrator. All-in that is so, so much cheaper than Hargreaves.
Do you mean Interactive Brokers or Interactive Investors? My SIPP is still being managed through/by the transferring IFA/Standard Life as it couldn't initially be avoided, due to a transfer from my defined benefit pension. The overall charges in total are around 2% pa and the fund is 6.2% down since opening in November 2021, which is partly due to the charges.
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
Time for me to wade in.............
For the Platforms I use the fee you're being charged is pretty good. My clients are generally paying somewhere around 0.2% - maybe a bit cheaper or dearer depending on funds under management but none below 0.15%.
The Investment Portfolio cost is not bad either. The Company I work for (Quilter) offer various managed portfolios which have AMC's of around 0.6% - some a bit less if you want to use passives or even a blended solution using active & passive. I have a lot of clients who I've been advising for 20 years or so and many of those have a portfolio of funds that I've selected over those years & regularly review. Single asset funds including equities, bonds, property and commodities/alternatives that combined make up a portfolio to match their risk profile. Usually these would be split 60/40 or 70/30 - or for more cautious investors 50/50 or less. These often average out around 0.9% as I use pretty decent funds from the big investment houses. Funnily enough I had a review meeting 2 weeks ago where the client was concerned about the cost of these funds & we decided that I would switch the funds around to include passives and cheaper multi-asset funds, and overall I managed to get the cost down to around 0.5%.
However, I charge a standard ongoing fee of 0.5%, and have done so for almost 25 years. If clients have in excess of £500k then this can be reduced and I do have clients paying 0.25% - but they generally have over £1m under management. For the lower end Quilter suggests I should be charging 0.95%, and for the client in question it should be 0.75%. I have no clients paying more than 0.5%, apart form one that is paying 1% but that is because I'm not charging anything on their Investment Bonds as that then impacts on the 5% deferred tax withdrawals (bloody silly rules) and so have agreed to offset that by taking more on their ISA's.
In essence @TelMc32, I think the charges you are paying are pretty good, apart from the adviser fee. Usually I do try to keep the whole charge to around 1.2%-1.3% and certainly below 1.5%. But obviously we don't know what funds you are currently in & whether they are a mix of single asset funds, multi asset funds or even a DFM or Managed Portfolio.
I think you're issue is two-fold - what funds are you in & are they any good (It doesn't seem like they are) and then the adviser fee should be reduced to no more than 0.5%.
fwiw, I keep track of my SIPP almost daily & record values on a weekly basis. Since July 2021 its up 12.3%. Obviously had a big fall in March 2020, but that was made up (and more) the latter part of that year & going into 2021.Then we had a sell off in Bonds in Q3 of 2022 which coincided with Liz Truss' awful Budget in 09/22. Gilts fell over 25% in 2022. And then we've had a recovery since Oct last year which has just recently ran out of steam (apart from the FTSE).
Client's I've seen recently have all seen growth in their funds of between 9%-12% since the summer of last year.
Thanks @Rob7Lee and @golfaddick. I know we had a similar conversation a while back. It had always been my intention to review later this year as they will have been managing the pension for 3 years then. I appreciated the shockwaves of Russia’s invasion, subsequent energy crisis, the Truss/KamiKwaze double act and lately Hamas/Israel and ME tensions. It seems that geopolitical risks have weighed heavily over the last few years.
However, you both have shown that there is potential and my pension firm aren’t picking that up, albeit they seem to have at least kept up since November last.
If it is useful for others, below is the current set up of my SIPP. Rob, I know you questioned the number of investments before 😉. Golfie, you seemed more in agreement before with that number.
Most now are positive (not the case a year ago), but those highlighted are a big drain and ones I will definitely query (some I have previously and was told that the managers were still confident in them).
UK Gov Bonds - L&G All Stocks Gilt Index Tst 6.37% UK Corporate Bonds - BlackRock Corporate Bond S Acc 4.87%
UK Mixed Bond - Royal London Short Dur Credit Z Acc 5.24%
Global Bonds - PIMCO LowDurGlblnvGrdCrt IH A GBP 6.00% Property - abrdn Gb, RI EST I A£ 4.45%
UK Equities Artemis UK Select I Acc - 5.62% CT UK Eq Inc ZNA £ - 6.13% Liontrust UK Sm Cos I Acc - 4.63% SchroederRecovery L Acc - 4.70%
North American Equities BNY Mellon US Equity Income U A - 3.55% CT Am Sm Cos US LA A - 3.54% TMNLS US Eq Ldrs l/A GBP - 3.64%
European Equities Fidelity Index Europe ex UK P Acc - 2.72% MIChIErpSl A A - 2.52% WS Lightman European I Acc - 2.61%
Japanese Equities - Man GLG Japan Core Alpha C Prof Acc - 6.05%
Unclassified abrdn GILBERT InstS A£ - 4.20% Lazard GblLstInfEq A D£ - 4.37% Lazard GblCnvRcv C Acc GBP - 4.03% Man GLG HgYldOpp IF H GBP - 5.03% Vanguard US Gov Bd Idx I I£ - 6.47% VT Gravis UK Infra Inc I Acc GBP - 3.01%
Thanks @Rob7Lee and @golfaddick. I know we had a similar conversation a while back. It had always been my intention to review later this year as they will have been managing the pension for 3 years then. I appreciated the shockwaves of Russia’s invasion, subsequent energy crisis, the Truss/KamiKwaze double act and lately Hamas/Israel and ME tensions. It seems that geopolitical risks have weighed heavily over the last few years.
However, you both have shown that there is potential and my pension firm aren’t picking that up, albeit they seem to have at least kept up since November last.
If it is useful for others, below is the current set up of my SIPP. Rob, I know you questioned the number of investments before 😉. Golfie, you seemed more in agreement before with that number.
Most now are positive (not the case a year ago), but those highlighted are a big drain and ones I will definitely query (some I have previously and was told that the managers were still confident in them).
UK Gov Bonds - L&G All Stocks Gilt Index Tst 6.37% UK Corporate Bonds - BlackRock Corporate Bond S Acc 4.87%
UK Mixed Bond - Royal London Short Dur Credit Z Acc 5.24%
Global Bonds - PIMCO LowDurGlblnvGrdCrt IH A GBP 6.00% Property - abrdn Gb, RI EST I A£ 4.45%
UK Equities Artemis UK Select I Acc - 5.62% CT UK Eq Inc ZNA £ - 6.13% Liontrust UK Sm Cos I Acc - 4.63% SchroederRecovery L Acc - 4.70%
North American Equities BNY Mellon US Equity Income U A - 3.55% CT Am Sm Cos US LA A - 3.54% TMNLS US Eq Ldrs l/A GBP - 3.64%
European Equities Fidelity Index Europe ex UK P Acc - 2.72% MIChIErpSl A A - 2.52% WS Lightman European I Acc - 2.61%
Japanese Equities - Man GLG Japan Core Alpha C Prof Acc - 6.05%
Unclassified abrdn GILBERT InstS A£ - 4.20% Lazard GblLstInfEq A D£ - 4.37% Lazard GblCnvRcv C Acc GBP - 4.03% Man GLG HgYldOpp IF H GBP - 5.03% Vanguard US Gov Bd Idx I I£ - 6.47% VT Gravis UK Infra Inc I Acc GBP - 3.01%
What strikes from a quick look at those funds (and some need a bit more information as the shortened names aren't easy to decipher) is that you seem to have only around 10% in US equities, whereas the MSCI World Index is around 65% US equities - and I usually suggest around 20%. Also, in the Unclassified section I cam see at least 2 fixed interest funds *Man GLG High Yield and Vanguard US Gov Bond) so your total in Bonds is over 30%, which isn't a problem in itself but it depends on how much risk you were originally wanting to take.
As for the actual funds. The Artemis UK Select is a top fund, but too many others are equity income funds (which again is ok if your mandate was to generate income as well as growth) but over the past 12 months Equity Income funds have not nearly done as well as Growth funds.
But as I keep getting told by superiors - I should not be picking funds for clients & should just be selecting a multi asset fund & be done with it !
Thanks @Rob7Lee and @golfaddick. I know we had a similar conversation a while back. It had always been my intention to review later this year as they will have been managing the pension for 3 years then. I appreciated the shockwaves of Russia’s invasion, subsequent energy crisis, the Truss/KamiKwaze double act and lately Hamas/Israel and ME tensions. It seems that geopolitical risks have weighed heavily over the last few years.
However, you both have shown that there is potential and my pension firm aren’t picking that up, albeit they seem to have at least kept up since November last.
If it is useful for others, below is the current set up of my SIPP. Rob, I know you questioned the number of investments before 😉. Golfie, you seemed more in agreement before with that number.
Most now are positive (not the case a year ago), but those highlighted are a big drain and ones I will definitely query (some I have previously and was told that the managers were still confident in them).
UK Gov Bonds - L&G All Stocks Gilt Index Tst 6.37% UK Corporate Bonds - BlackRock Corporate Bond S Acc 4.87%
UK Mixed Bond - Royal London Short Dur Credit Z Acc 5.24%
Global Bonds - PIMCO LowDurGlblnvGrdCrt IH A GBP 6.00% Property - abrdn Gb, RI EST I A£ 4.45%
UK Equities Artemis UK Select I Acc - 5.62% CT UK Eq Inc ZNA £ - 6.13% Liontrust UK Sm Cos I Acc - 4.63% SchroederRecovery L Acc - 4.70%
North American Equities BNY Mellon US Equity Income U A - 3.55% CT Am Sm Cos US LA A - 3.54% TMNLS US Eq Ldrs l/A GBP - 3.64%
European Equities Fidelity Index Europe ex UK P Acc - 2.72% MIChIErpSl A A - 2.52% WS Lightman European I Acc - 2.61%
Japanese Equities - Man GLG Japan Core Alpha C Prof Acc - 6.05%
Unclassified abrdn GILBERT InstS A£ - 4.20% Lazard GblLstInfEq A D£ - 4.37% Lazard GblCnvRcv C Acc GBP - 4.03% Man GLG HgYldOpp IF H GBP - 5.03% Vanguard US Gov Bd Idx I I£ - 6.47% VT Gravis UK Infra Inc I Acc GBP - 3.01%
I just struggle when I see a list like that, I've not studied each fund, but what exactly are they trying to do with that choice?
Like Golfie I can't quite decipher what each is from the shortened name, but looks to me your paying a lot of money...... well for not very much! You literally may as well have put it in Vanguards lifestyle 80, pay less fee's (no advisor fee's) had broadly the same risk but made much more.
Remember this is a forum and I'm not a qualified advisor, far from it! But if this were my money I'd move it to somewhere like Vanguard and just put it in one of their lifestyle funds, maybe 70% of your total in their 60% split fund, then top up with a bit more S&P500 ETF and maybe a bit more in Japan, you can even keep a little bit in cash.
Looking for some advice on wether tax is due to be paid on a credit received from Lloyds bank cash back credit card ie the cash back I received was around £250.00 and I’m wondering if I’ve got to declare it, it’s my first time of doing my self assessment tax form without the aid of an accountant.
Looking for some advice on wether tax is due to be paid on a credit received from Lloyds bank cash back credit card ie the cash back I received was around £250.00 and I’m wondering if I’ve got to declare it, it’s my first time of doing my self assessment tax form without the aid of an accountant.
cashback on bank or credit card accounts generated from what you've spent usually deemed to be discounts rather than interest earned or other income
Looking for some advice on wether tax is due to be paid on a credit received from Lloyds bank cash back credit card ie the cash back I received was around £250.00 and I’m wondering if I’ve got to declare it, it’s my first time of doing my self assessment tax form without the aid of an accountant.
cashback on bank or credit card accounts generated from what you've spent usually deemed to be discounts rather than interest earned or other income
Thanks that what I assumed initially, but then I thought I better seek advice, thanks again.
Comments
Better than the last couple of months.
£100 for me, £27k ish
£100 for daughter, £26k
£300 for Father in law, Max holding
Over the last 40 months I've averaged (ignoring pennies) £54 a month, Mrs £105, daughter £187 (she had one big £5k win)
Neither of us anywhere near maximum holding.
https://www.google.com/amp/s/www.fnlondon.com/amp/articles/royal-london-equities-head-quits-to-set-up-new-firm-with-colleagues-21c611fb
I have an interim review with my advisor on Monday (no bank holiday where she is in Scotland). My charges, are 1.5% (which has reduced from the initial 1.6% agreed) as they apparently now have a better deal with Abrdn. That’s split as follows:
Abrdn Platform Fee 0.11%
Investment Portfolio Cost 0.64%
Ongoing Investment & Advice Fee 0.75%
Fund is up, very marginally, at 0.75% since I opened it on July 1st 2021. I apparently missed the decent performance from the first half of that year and the SIPP has only really started to regain the losses (from memory I think it was 12% down at one point) since November last year.
I was always confident that I could do a better job than the "experts" after charges.
Obviously it wasn't an option at first and then my personal heath issues last year meant I decided that it was best to leave for the time being.
Now I'm ok, I'm thinking about transferring it out and managing it myself, especially if I can't get a reduction in charges.
I'm paying 1.9% pa.
I'm not sure how long the pension had to remain with the IFA after transfer?
How on earth is yours up by less than 1%?
An S&P 500 Tracker would be up 29%
An FTSE100 Tracker 16%
Even something like Vanguards Lifestyle 80% would be up 12%
I can only assume you are heavily into bonds and gilts?
Any views on this.
I would honestly be questioning what it is you are getting for your 0.75% plus platform and portfolio cost. They aren't even matching basic lifestyle funds in performance.
FWIW, just checked as I do trade funds from time to time so the mix isn't static, but broadly I've had about 10% in bonds or gilts in that time.
For the Platforms I use the fee you're being charged is pretty good. My clients are generally paying somewhere around 0.2% - maybe a bit cheaper or dearer depending on funds under management but none below 0.15%.
The Investment Portfolio cost is not bad either. The Company I work for (Quilter) offer various managed portfolios which have AMC's of around 0.6% - some a bit less if you want to use passives or even a blended solution using active & passive. I have a lot of clients who I've been advising for 20 years or so and many of those have a portfolio of funds that I've selected over those years & regularly review. Single asset funds including equities, bonds, property and commodities/alternatives that combined make up a portfolio to match their risk profile. Usually these would be split 60/40 or 70/30 - or for more cautious investors 50/50 or less. These often average out around 0.9% as I use pretty decent funds from the big investment houses. Funnily enough I had a review meeting 2 weeks ago where the client was concerned about the cost of these funds & we decided that I would switch the funds around to include passives and cheaper multi-asset funds, and overall I managed to get the cost down to around 0.5%.
However, I charge a standard ongoing fee of 0.5%, and have done so for almost 25 years. If clients have in excess of £500k then this can be reduced and I do have clients paying 0.25% - but they generally have over £1m under management. For the lower end Quilter suggests I should be charging 0.95%, and for the client in question it should be 0.75%. I have no clients paying more than 0.5%, apart form one that is paying 1% but that is because I'm not charging anything on their Investment Bonds as that then impacts on the 5% deferred tax withdrawals (bloody silly rules) and so have agreed to offset that by taking more on their ISA's.
In essence @TelMc32, I think the charges you are paying are pretty good, apart from the adviser fee. Usually I do try to keep the whole charge to around 1.2%-1.3% and certainly below 1.5%. But obviously we don't know what funds you are currently in & whether they are a mix of single asset funds, multi asset funds or even a DFM or Managed Portfolio.
I think you're issue is two-fold - what funds are you in & are they any good (It doesn't seem like they are) and then the adviser fee should be reduced to no more than 0.5%.
fwiw, I keep track of my SIPP almost daily & record values on a weekly basis. Since July 2021 its up 12.3%. Obviously had a big fall in March 2020, but that was made up (and more) the latter part of that year & going into 2021.Then we had a sell off in Bonds in Q3 of 2022 which coincided with Liz Truss' awful Budget in 09/22. Gilts fell over 25% in 2022. And then we've had a recovery since Oct last year which has just recently ran out of steam (apart from the FTSE).
Client's I've seen recently have all seen growth in their funds of between 9%-12% since the summer of last year.
Most now are positive (not the case a year ago), but those highlighted are a big drain and ones I will definitely query (some I have previously and was told that the managers were still confident in them).
UK Gov Bonds - L&G All Stocks Gilt Index Tst 6.37%
UK Corporate Bonds - BlackRock Corporate Bond S Acc 4.87%
Property - abrdn Gb, RI EST I A£ 4.45%
UK Equities
Artemis UK Select I Acc - 5.62%
CT UK Eq Inc ZNA £ - 6.13%
Liontrust UK Sm Cos I Acc - 4.63%
SchroederRecovery L Acc - 4.70%
North American Equities
BNY Mellon US Equity Income U A - 3.55%
CT Am Sm Cos US LA A - 3.54%
TMNLS US Eq Ldrs l/A GBP - 3.64%
European Equities
Fidelity Index Europe ex UK P Acc - 2.72%
MIChIErpSl A A - 2.52%
WS Lightman European I Acc - 2.61%
Japanese Equities - Man GLG Japan Core Alpha C Prof Acc - 6.05%
Unclassified
abrdn GILBERT InstS A£ - 4.20%
Lazard GblLstInfEq A D£ - 4.37%
Lazard GblCnvRcv C Acc GBP - 4.03%
Man GLG HgYldOpp IF H GBP - 5.03%
Vanguard US Gov Bd Idx I I£ - 6.47%
VT Gravis UK Infra Inc I Acc GBP - 3.01%
As for the actual funds. The Artemis UK Select is a top fund, but too many others are equity income funds (which again is ok if your mandate was to generate income as well as growth) but over the past 12 months Equity Income funds have not nearly done as well as Growth funds.
But as I keep getting told by superiors - I should not be picking funds for clients & should just be selecting a multi asset fund & be done with it !
Like Golfie I can't quite decipher what each is from the shortened name, but looks to me your paying a lot of money...... well for not very much! You literally may as well have put it in Vanguards lifestyle 80, pay less fee's (no advisor fee's) had broadly the same risk but made much more.
Remember this is a forum and I'm not a qualified advisor, far from it! But if this were my money I'd move it to somewhere like Vanguard and just put it in one of their lifestyle funds, maybe 70% of your total in their 60% split fund, then top up with a bit more S&P500 ETF and maybe a bit more in Japan, you can even keep a little bit in cash.