PRSA or Pension with Quinn Life?

I am new to the world of Pensions, so please bear with me.

What is the advantage of a PRSA when compared to investing in Quinns Freeway funds directly. My understanding is Quinns charges are 1% per year, with no set up charge. Most PRSA’s have a charge of 5% of contributions paid and 1% per annum of the PRSA assets.

Thanks

Re: PRSA or Pension with Quinn. Life

Exactly. That's why I went with QL. It is definitely cheaper. Maybe PRSA's are more portable if you change jobs a lot. (I'm not sure about this)

Now you see why the uptake in PRSA's was so low.

DM

Once can get PRSAs with 0%/1% charging structures (i.e. 100% of each contribution invested and an annual management fee of 1%) for a fixed execution only arrangement fee of a few hundred € if you shop around. This is mentioned in another recent thread. Of course if QL's non PRSA Retirement Annuity Contract offerings and funds suit your needs then by all means go for their 0%/1% charges with no arrangement fee. If you eventually join an occupational scheme or an employer who uses a PRSA then there's nothing wrong with parking the RAC and contributing to the other scheme. Other than the slight additional administrative hassle all things (in particular charges and fund choice) being equal there's no harm and potentially some good (in the form of diversification across different providers/funds) in having multiple pension funds with usually at most one actively receiving contributions at any one time. I had about 6 different funds until recently when I consolidated two into a buy out bond leaving a total of five.

One thing to be aware of with Quinn is that they do not offer a cash fund (that I am aware of) that would be suitable for someone approaching retirement. A long-term issue, yes, but one to consider anyway.

I would have thought that their bond fund would fit the bill for people nearing retirement or pension drawdown who wanted to move into something safer/less volatile. Obviously bonds will be more volatile than cash but a lot less than equities I would have thought.

Agreed, but I would say that the more secure the better at that stage, and I don't really know how volatile the bond fund is likely to be, but given that it seems to concentrate solely on Euro area government bonds, then I guess it should be pretty steady.

CCOVICH said:

One thing to be aware of with Quinn is that they do not offer a cash fund (that I am aware of) that would be suitable for someone approaching retirement. A long-term issue, yes, but one to consider anyway.

Click to expand...

Update: Quinn Life now appear to provide a cash fund. (that was quick!). Not much detail on their website yet. See this thread for details.

Hi Robo

When you say "investing in Quinn Funds directly" - I presume that you mean through some form of pension product?

Because if you just "invest directly" through an investment instead of a pension product you will lose all of the tax advantages that go with a PRSA/Personal Pension whether you take out that pension through Quinn or anybody else it is clearly more tax efficient than just "investing directly".