Any reasons not to transfer PRSA into Occupational Scheme?

[aristotle]

I have a PRSA that I started before I joined a company DC pension scheme.
The PRSA has a 1% fee and the DC one has a 0.3% one for the same fund, both in Zurich.

Are there any reasons I should not move the PRSA in?
I think I read I could draw down on the PRSA earlier than the DC and it might be better in some way to keep the PRSA as it is?

 

[ClubMan]

Having multiple pensions can offer flexibility in terms of accessing some funds earlier than others (check your PRSA documentation) and retiring different parts of your overall pension pot at different times.

The 1% AMC on your PRSA isn't great value but you could switch to another PRSA with better charges if necessary.

0.3% AMC on the occupational scheme seems particularly low. Are you sure that that's the full effective charge?

You might need to get independent professional advice for your specific circumstances.

 

[S class]

You would be limited to the conditions of the company scheme as you state regarding when you can take retirement benefits.
The company scheme might have limited investment options and risk levels.
You would have the choice of investing your PRSA in the highest risk level funds. This could give you a better investment return on the PRSA and offset the higher fees.

 

[aristotle]

0.3% AMC on the occupational scheme seems particularly low. Are you sure that that's the full effective charge?

The zurich portal lists a AMC of 0.3% alright, it was previously 0.6% and then 0.5%.

I can’t find any info about a full effective charge. Is that something pension providers are supposed to publish?

 

[AJAM]

A difference of 0.7% over 20 years will cost you 15,845 Euro, per 100,000. So whatever benefits you get from the flexibility of having 2 pots would need to be worth more than that to you, to make sense.

 

[ClubMan]

A difference of 0.7% over 20 years will cost you 15,845 Euro, per 100,000. So whatever benefits you get from the flexibility of having 2 pots would need to be worth more than that to you, to make sense.

As I said above, 1% AMC on a PRSA these days is not competitive and much better is possible.
Although not as low as 0.3% as far as I know.

 

[ClubMan]

The zurich portal lists a AMC of 0.3% alright, it was previously 0.6% and then 0.5%.

I can’t find any info about a full effective charge. Is that something pension providers are supposed to publish?

Total expense ratios are not always transparent unfortunately.
But if the only AMC mentioned is 0.3% and no other ongoing charges are mentioned then you can probably take that as the figure to compare with your de facto PRSA AMC of 1%.