You need to find out if it applies to your contract or not.
It mainly applies to older contracts, and continues to be published by Zurich for those older contracts where it applies.
You need to find out if it applies to your contract or not.What I don’t understand is the Bid / Offer price gap. If it is 5%, is in effectively a 5% one off charge on all money put into a fund (or taken out if you prefer to look at it that way)?
Thank you. I will check for that in my contract. I’m that case 0.75% AMC and 100% allocation seems pretty good. Will have a quick scout around to see if a discount broker can beat it and report back.I’ve money with them and one of the features is no bid/offer spread.
Advisors like Marc seem to take the worst life company contracts and compare them with incomplete numbers for their own offering.
If get access to the 0.4% wholesale rate for an Executive Pension and buy ETFs, how much is Marc charging me and how much is the stockbroker charging me? And where is my money?
Thank you. I will check for that in my contract. I’m that case 0.75% AMC and 100% allocation seems pretty good. Will have a quick scout around to see if a discount broker can beat it and report back.
Just so we are all clear then
You are not paying 0.75%pa. We don’t know what you are paying, but it’s not 0.75%pa.
You could obtain a more transparent contract for 0.40%pa plus underlying fund costs which reflect the investment choices you wish to make and which are more flexible, more transparent and offer considerably more choice with access to around 10,000 investment funds.
You can negotiate your advice fees directly with your adviser to reflect the risk to their business and the ongoing commitment you are looking for in terms of ongoing service.
You can have your assets held in custody with one of the World’s most secure custodians with around $2 trillion in custody assets and who’s parent had over $200 trillion in custody assets and is the custodian bank for the Federal Reserve.
Or
You can have a contract which is opaque, is not required to the disclose the true costs so plainly doesn’t, does not clearly disclose the sales commissions and which is held on the balance sheet of an insurance company so that if the balloon goes up, you are just in a long line of creditors. Equitable Life?
Those are the choices in Ireland today and increasingly smart investors are choosing the former over the latter.
Why am I not paying 0.75%? Zurich has costs. Building rental, staff, advertising. Why is commission any different?Just so we are all clear then
You are not paying 0.75%pa. We don’t know what you are paying, but it’s not 0.75%pa.
You could obtain a more transparent contract for 0.40%pa plus underlying fund costs which reflect the investment choices you wish to make and which are more flexible, more transparent and offer considerably more choice with access to around 10,000 investment funds.
You can negotiate your advice fees directly with your adviser to reflect the risk to their business and the ongoing commitment you are looking for in terms of ongoing service.
You can have your assets held in custody with one of the World’s most secure custodians with around $2 trillion in custody assets and who’s parent has over $200 trillion in custody assets and is the custodian bank for the Federal Reserve.
Or
You can have a contract which is opaque, is not required to the disclose the true costs so plainly doesn’t, does not clearly disclose the sales commissions and which is held on the balance sheet of an insurance company so that if the balloon goes up, you are just in a long line of creditors. Equitable Life?
Those are the choices in Ireland today and increasingly smart investors are choosing the former over the latter.
Just so we are all clear then
You are not paying 0.75%pa. We don’t know what you are paying, but it’s not 0.75%pa.
You could obtain a more transparent contract for 0.40%pa plus underlying fund costs which reflect the investment choices you wish to make and which are more flexible, more transparent and offer considerably more choice with access to around 10,000 investment funds.
You can negotiate your advice fees directly with your adviser to reflect the risk to their business and the ongoing commitment you are looking for in terms of ongoing service.
You can have your assets held in custody with one of the World’s most secure custodians with around $2 trillion in custody assets and who’s parent has over $200 trillion in custody assets and is the custodian bank for the Federal Reserve.
Or
You can have a contract which is opaque, is not required to the disclose the true costs so plainly doesn’t, does not clearly disclose the sales commissions and which is held on the balance sheet of an insurance company so that if the balloon goes up, you are just in a long line of creditors. Equitable Life?
Those are the choices in Ireland today and increasingly smart investors are choosing the former over the latter.
Just so we are all clear then. You joined this thread suggesting an alternative which you claim is better, more transparent etc. You quote some of the charges of your suggested alternative, so readers could compare with what the original poster had been offered. But you left out one important charge - sales commission / fee - which in your example is something that the customer must pay in addition to the other charges you quoted. The OP showed figures which included sales commission. Yours exclude sales commission and despite repeated requests, you haven't even given an example of the sales commission / fee.
I've highlighted a line in your most recent post above. (You may have to "Click to Expand" to read it.) Read my last paragraph again. Then read the highlighted line again.
In-fairness though that is actually a valid advantage; while there are quite a few funds available in my Zurich pension, I would like some more choices around for example green energy funds and a plain old S&P500 index fund.My favourite part was the choice of 10,000 funds! Now how in their right mind does one whittle down a choice of 10,000.
Funds I am looking at are:As SPC100 notes above those figures from the PRiIPs document relate to investment bonds not investing in a pension. The AMC used in that document is 1.5% & then theres the 1% insurance levy.
@time to plan
Can you let us know:
1: will you have a policy fee, if so how much
2: will there be early surrender penalties
3: what fund are you interested in / looking at?
As mentioned earlier its very unlikely that you will have a b/o spread. Just more ridiculous requirements that need to go into customer brochures. I’ve said it on here before pre-sale disclosure / customer brochures really need an enormous overall to help stop the exact position you’ve found yourself inPolicy
| |
| Asia Pacific Equity | |
| Indexed TopTech 100 | |
| Indexed Emerging Markets Equity (BlackRock) | |
| Indexed Eurozone Equity (Blackrock) | |
| Gold (5%) |
Would it be attractive to a broker?I wonder does any broker offer an execution-only, unbundled, PRSA with no ongoing advisory fees or trail commissions?
Obviously there would be establishment costs but a pension wrapper with a fixed annual cost of ~€500pa would be a very attractive option for somebody with a decent sized pension pot.
In the absence of additional information, let’s assume that there is an additional 1.5% to 2.0% added to that 0.4%. Ouch.Just so we are all clear then. You joined this thread suggesting an alternative which you claim is better, more transparent etc. You quote some of the charges of your suggested alternative, so readers could compare with what the original poster had been offered. But you left out one important charge - sales commission / fee - which in your example is something that the customer must pay in addition to the other charges you quoted. The OP showed figures which included sales commission. Yours exclude sales commission and despite repeated requests, you haven't even given an example of the sales commission / fee.
I've highlighted a line in your most recent post above. (You may have to "Click to Expand" to read it.) Read my last paragraph again. Then read the highlighted line again.