# Irsh Life SaverScope account performing poorly-what to do?



## lurcher (11 Jan 2008)

I started my saverscoop{government savings} in march 02,it finished 10mths ago.I was happy with the final amount been over 24k.However i decided to keep it going & have continued with putting the 254euro max contribution in over the last 10mths.As the irish equity market hasnt performed well over the last 10mths the balance of my saverscoop is the same as what it was 10mths ago & i have lost money.
I am not complaining about this as i went in to this knowing that i could lose money.
I am looking for opinions as to weather i should stay in the plan & hang in there for when the irish equity market recovers,{though i dont recon this will be anytime soon].
Should i change to a different investment product & if so could i have some advice on these products,i dont mind a bit of risk.Appreciate any constructive replys.


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## CCOVICH (11 Jan 2008)

*Re: Permanent life saverscoop account*

Well, this mightn't be very constructive, but the name of the product is Irish Life SaverScope.

Irish Life aren't very competitive on charges.  Rather than cashing in your losses, I would leave the policy as is, i.e. don't make any more contributions, but leave the policy in place until such time as it recovers (or you need the money).

You will then have €254 to invest in something else every month.  You could look at it this way-funds and shares are 'cheap' now and maybe it's a good time to invest (in another fund with lower charges) if you are in for the long-run.

But, you really need to clarify what your attitude to risk is, how long you are willing to invest, whether or not you have any other assets or debts, and what your goal is (just accumulate money, save for new car, save for children's education, pay down mortgage, retire early etc.)


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## lurcher (12 Jan 2008)

*Re: Permanent life saverscoop account*

Thanks for reply CCOVICH,
the idea of leaving the policy as is & not contributing to it is probably a sensible one,i am happy to keep contributing the 254euro a month to another policy for another five years & longer.I am happy to invest in a policy with medium to high risk & i will research this further.
Thanks again.


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## CCOVICH (12 Jan 2008)

*Re: Permanent life saverscoop account*

In that case maybe you should consider diversifying out of Irish equities?


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## lurcher (14 Jan 2008)

Yes,but have you any advice/pointers as to what i might consider ivesting in alternatively.


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## MMilken (14 Jan 2008)

Irish Life are not "expensive" per se.

They also offer funds with no entry cost and annual fund management charges from 0.5% per annum, it depends on the sales channel.

The sales method may have made it expensive.

Alternative - a fund with a combination of Euro, US, Asia Equities and some Fixed Interest and Property component.


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## CCOVICH (14 Jan 2008)

MMilken said:


> They also offer funds with no entry cost and annual fund management charges from 0.5% per annum, it depends on the sales channel.


 
Which funds, through what channels should you go, and are management charges of 0.5% available for monthly investment of €254 or less?


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## MMilken (14 Jan 2008)

The Pension Consensus Fund is available at 0.4% - if it is accessed on a nil commission basis.

The FMC only gets so low once a fund size of €5m is achieved.

Otherwise the FMC is available from 0.65% on the Consensus Fund - again once it is accessed through a genuine nil-commission channel.

On what basis did you decide "Irish Life aren't very competitive on charges"?


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## CCOVICH (14 Jan 2008)

MMilken said:
			
		

> Otherwise the FMC is available from 0.65% on the Consensus Fund - again once it is accessed through a genuine nil-commission channel.


 
Such as a broker?



			
				MMilken said:
			
		

> On what basis did you decide "Irish Life aren't very competitive on charges"?


 
On the basis I used to work in Irish Life and still have a policy in force with same.


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## MMilken (14 Jan 2008)

Yes a nil-commission broker is one form of nil-commission channel.

Not all Irish Life employees would necessarily know anything about their competitors charges (or their own for that matter!).


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## CCOVICH (14 Jan 2008)

MMilken said:


> Not all Irish Life employees would necessarily know anything about their competitors charges (or their own for that matter!).


 
They certainly wouldn't.


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## MMilken (14 Jan 2008)

Glad you agree.

Maybe the OP can let us know what the charges on his/her policy are.


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