PRB Charges?

B

Blackrock1

Registered User
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My wife is looking at moving her pension (circa 325k) from a mercer fund (she was made redundant) to a PRB,

we have been offered a Vantage PRB :

1) No encashment charge.
2) Fund and platform fee-0.60%-0.80% (fund dependent)
3) annual advisory fee-0.50%

How do those fees seem?
 
Blackrock1 said:
My wife is looking at moving her pension (circa 325k) from a mercer fund (she was made redundant) to a PRB,

we have been offered a Vantage PRB :

1) No encashment charge.
2) Fund and platform fee-0.60%-0.80% (fund dependent)
3) annual advisory fee-0.50%

How do those fees seem?
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How do they compare to the mercer pension charges?
 
She can get 1 and 2 from a lot of brokers. Item 3 means that her broker is going to get paid roughly €1,600 trail commission every year for the life of the product. No issue with this IF your wife is happy that she will receive €1,600 worth of service from the broker each year for this. Have they set out what exactly they will be doing every year for her?
 
Blackrock1 said:
My wife is looking at moving her pension (circa 325k) from a mercer fund (she was made redundant) to a PRB,

we have been offered a Vantage PRB :

1) No encashment charge.
2) Fund and platform fee-0.60%-0.80% (fund dependent)
3) annual advisory fee-0.50%

How do those fees seem?
Click to expand...
What's a Vantage PRB? Is that the company's own branding? From fund and platform fee, it is with the likes to ITC & Conexim, with the provider charging 0.4% and the fund itself charging 0.2%+.

It depends on what you want but there is cheaper available.


Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)
 
Steven Barrett said:
What's a Vantage PRB? Is that the company's own branding? From fund and platform fee, it is with the likes to ITC & Conexim, with the provider charging 0.4% and the fund itself charging 0.2%+.

It depends on what you want but there is cheaper available.


Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)
Click to expand...
yes it must be their own,

we have our company stuff with this wealth advisor and i have moved my older pensions to them as well so that i have everything with one manager, i thought it would make sense to have my wife's pension there as well so we have a holistic view.

Really what im wondering is if its way out of the market or not?

We want her pension to be actively managed.
 
Blackrock1 said:
We want her pension to be actively managed.
Click to expand...

I'm curious about this. Do you mean you want to pick an actively managed fund, e.g. most Zurich Life (or other active manager) funds? Or you want your broker to actively manage the fund, recommend fund switches etc.? I'm deeply skeptical of the latter, partly because such a service is usually far more expensive than picking a low-cost fund and sticking with it. I would also be asking the broker to show evidence of their track record of consistently beating the average plain vanilla fund. Otherwise what are you paying the extra €1,600 (or more) per year for?
 
Dave Vanian said:
I'm curious about this. Do you mean you want to pick an actively managed fund, e.g. most Zurich Life (or other active manager) funds? Or you want your broker to actively manage the fund, recommend fund switches etc.? I'm deeply skeptical of the latter, partly because such a service is usually far more expensive than picking a low-cost fund and sticking with it. I would also be asking the broker to show evidence of their track record of consistently beating the average plain vanilla fund. Otherwise what are you paying the extra €1,600 (or more) per year for?
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thats true actually, good point.
 
Dave Vanian said:
I'm curious about this. Do you mean you want to pick an actively managed fund, e.g. most Zurich Life (or other active manager) funds? Or you want your broker to actively manage the fund, recommend fund switches etc.? I'm deeply skeptical of the latter, partly because such a service is usually far more expensive than picking a low-cost fund and sticking with it. I would also be asking the broker to show evidence of their track record of consistently beating the average plain vanilla fund. Otherwise what are you paying the extra €1,600 (or more) per year for?
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Had a conversation with a client this morning. He was thinking of adding additional money to his portfolio and asked for my recommendation.

Same as you are currently in.

The days of financial advisors pretending they can design a portfolio of global stocks better than MSCI is over. Stick it in an index.
 
Blackrock1 said:
yes it must be their own,

we have our company stuff with this wealth advisor and i have moved my older pensions to them as well so that i have everything with one manager, i thought it would make sense to have my wife's pension there as well so we have a holistic view.

Really what im wondering is if its way out of the market or not?

We want her pension to be actively managed.
Click to expand...
If he's giving you a holistic view, gives you good advice and you like him, then stick with it.
 
Blackrock1 said:
when i say holistic i just mean having everything in one spot , its a new enough relationship and they have changed my advisor twice so cant really comment on how good or bad they are!
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Then we come back to Dave Vanian's point, is €1,600 a year in fees a reasonable fee for having everything in one spot?
 
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