ES PRSA vs. personal pension

M

matrix1

Registered User
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Hi,

I am looking at an Eagle Star PRSA, based on their matrix fund 5*5 (no bid spread, 1% annual charge into probably the most aggressive PRSA fund available).

However, I am wondering if anybody has experience of their Personal Pensions (non-PRSA). I guess it might be possible to get a lower annual charge, although I am not sure what broker fees might be. 5*5 is also available this way.

Cheers!
 
Eagle Star's Flexible Personal Pension contract has charges as follows: - €3.50 per month, 103% allocation, 5% bid/offer spread and 0.75% annual management charge for the 5*5 fund. Broker commission will reduce the allocation rate.

Whether or not the lower annual management charge will counteract the higher contribution charge depends on the length of time you have until retirement and the amount you're investing.

Liam D. Ferguson
www.ferga.com
 
Thanks.

I having been investigating the differences between management fees vs. monthly fee using [broken link removed]
There is little in it between 5%/month with 0.75% yearly fee vs. 0% bid/offer spread with 1% yearly. However, the 0.75% option gets better as the monthly % decreases (obviously!). If I am relying on a fund as (potentially) volatile as 5*5, I would like to keep the fees as low as possible.

I don't see any great advantage going with the PRSA - if I can find something more competitive! I have heard that changing providers can be a right pain...
 
You can buy the Eagle Star Retirement Advice Plan with just a 1% AMC.

IMHO, the 5%+0.75%amc V's 1%amc argument will only stand up if you are staying with the plan long term and this seldom happens as personal circumstances change and new products are introduced to the market.
 
Just chiming in; I have been able to source an ES flexible retirement scheme with 5%+0.75%amc. It has a monthly policy fee (at the moment) of €3.50. There is 103% allocation + 1% bonus allocation which takes the sting out of the 5%. There is a small setup charge. I am agonising as to whether to go with this or the 1%amc PRSA...
 
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