Interesting
so your trustee is costing about 0.21% currently plus 0.30% to Conexim when you could have had an all in charge of 0.40% from Conexim. That’s over a grand a year!
We could get you a dealing platform for 0.1% min €1000pa Inside a pension and a fixed trustee fee of €2,100pa which gets you to 0.31% all in but you would need to be a professional investor and move your portfolio offshore.
it’s definitely worth exploring your trustee options further for that size of pension fund. Even if you are not a professional investor it’s still worth looking into offshoring as IIORPs II will make small Irish trustees even more uncompetitive in the future. My trustee operates in over 80 countries and has more than 7,000 staff. An Irish pension trustee simply can’t compete.
we would generally still plug in Conexim as in reality your custodian is Pershing which is a $2 trillion custody business. You are paying for the cost of EU regulation and that will also get more expensive in future.
you are definitely not paying 0.1% for the vanguard fund
we have access to their institutional plus share class which has a minimum investment of €200 million and we pay more than that
unless you are buying a US ETF in which case you are also paying Conexim a dealing charge of 0.2% and an FX spread which you aren’t properly accounting for
you would also have exposure to US federal estate tax at a rate of 40% on death benefits so I’d give that a miss if I were you
Marc Westlake
Chartered Certified and European Financial Planner
www.globalwealth.ie