# Is this the end of self admin schemes?



## Wits (26 Jun 2006)

This link posted on pensions thread. [broken link removed]. Is this the end of these schemes, the costs look extremely high. Any views


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## Wits (2 Jul 2006)

It doesn't seem like too many people on Askaboutmoney are interested in Do-it-yourself pension products but there now seems to be a public debate underway as feathers are russled by last weeks article above in the Sunday Business Post. This week the Self Administered segment responds. Who is right. Any views.  [broken link removed].


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## MOB (3 Jul 2006)

I had a quick read of the Eddie Hobbes article.  It is rather weak in some aspects.  In particular, it states that:


..."And that’s just for administering and wrapping assets. Management costs go on top. How much asset management costs will depend on the approach taken. Properties, depending where you buy, can face stamp duties, rent management fees, property maintenance costs, community charges and even taxes"


I had always understood that virtually all managed funds have "Management Costs" on top of fund charges.  No big difference there.  

I assume that if a fund manager buys property he\she must also incur management fees, property maintenance costs etc.   No big difference there either.

I am not a convert to self admin pensions myself (yet) but I am fairly sure of the need for them.


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## Wits (3 Jul 2006)

The strange thing is that both articles are in agreement on the detail. It would appear that much DIY investment fails because the money stays in cash which seems to contradict popular belief that DIY is better than Sales-driven advice. Hobbs has a go at "over-priced" SARTS and predicts their demise. Goodbody's defend SARTs per se but also seem to agree that there is profiteering going on. The interesting thing is that Mr Overy of Financial Engineering Network is silent. The methodology used by him was roundly condemned by Hobbs and not supported by Goodbody's. Maybe I am reading too much into this spat but does it appear that there has been inappropriate selling going on in this market?


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## ubiquitous (3 Jul 2006)

Wits said:
			
		

> The interesting thing is that Mr Overy of Financial Engineering Network is silent.



I understand that Paul Overy suffered a close personal bereavement last week.


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## Wits (3 Jul 2006)

Very sorry to hear that, maybe we can proceed to discuss without reference to Mr Overy's analysis to be fair to him.


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