Which pension fund

[Sarenco]

You defo can invest in Davy or ITC/Conexim for 40bps platform fee. The only other fee would then be the ETF cost. Thats surely a better way?

Are you sure? 40bps without any advisor fees?

How would Joe Public access that deal?

Davy charge 75bps for their PRSA wrapper - before fund costs.

 

[Gordon Gekko]

It’s just me, but I would not give my money to a smaller privately owned counterparty.

 

[Oisin19]

Are you sure? 40bps without any advisor fees?

How would Joe Public access that deal?

talk to an advisor on an execution basis and he should be able to get it done. It would involve a transaction fee but they would have no justification for the on going fee. Therefore you should get the platform for 40bps

 

[Sarenco]

talk to an advisor on an execution basis and he should be able to get it done.

How do I talk to an advisor on an execution only basis? Surely that's an oxymoron?

With respect, you have now moved from "deffo" to "should be able to". I'm not having a go but I'm not that interested in what I should be able to do - I'm interested in what is actually possible.

 

[SPC100]

The Pensions Authority has a list of all authorised PRSA and the approved charging structures. How many people look at that? Most people aren't aware its there.

Well, I certainly didn't know that – here's a link for anybody that's interested:
https://www.pensionsauthority.ie/en/PRSA_Providers/PRSAs/

Not sure where the execution-only PRSAs that are available through discount brokers fit into that list.

Im not sure to be honest. its been a while since I worked in that space! Investing indirectly through a life co is madness. You defo can invest in Davy or ITC/Conexim for 40bps platform fee. The only other fee would then be the ETF cost. Thats surely a better way?

That's the information source I ending up using a long time ago. Maybe a decade ago, to get the cheapest available prsa that could passively track indexes.

The davy tab shows a .5% amc (+Vat) 0% contribution product exists for 'affinity' for funds >0 and 'direct' for funds >1m. (they also have direct at .25% if your fund >3m)

ITC seem to have a .4% for >1m

But you have to figure out how to access the product.

It also doesn't detail directly how much a broker would get from the AMC.

In theory, a discount broker for an appropriate setup fee, could agree to refund you their comission every year for the life of the policy.

 

[SPC100]

FYI - 6 year old information implied that davy .75% product was including .5% commission (although this was a 'special offer')

 

[SPC100]

The [broken link removed] file also has some other interesting bits and pieces.

Some things that stood out while I reviewed it

Custom house capital - CHC Select II PRSA (SUS/P/943/NS) 0% contribution, 0% AMC, >500k fund . <==Anyone know anything about this one?

Irish life - Company Standard PRSA (0% contribution, 0.50% amc) (APP/K/119/S) - Irish life have maybe 100 products listed!!!! this is the cheapest one.

Several providers drop their AMCs as fund size increases - there are several that now go to about .4% or .5%
Most providers are not explicit if the AMC includes vat or not
This file does not tell if you they have 'a platform' from which you can buy what you want, or if you must use their own funds.
Being a staff member at a stockbroker is the best way to a very low AMC e.g. 0.001% with goodbody, and 0.000001% with davy!

 

[Gordon Gekko]

Google CHC or Custom House Capital and then have a drink after you’ve read what pops up...

The fact that the main protagonists are not in jail is truly remarkable.

 

[Steven Barrett]

Fair enough Steven - and my apologies if my posts seemed unduly argumentative.

It's no problem Serenco. Arguments on pension charges tend to escalate so I'm going to stop now as they are another broker's charging structure and not mine.

 

[Steven Barrett]

Just to go back to that Standard Life/Vanguard contract...does that mean you can get a Buy Out Bond invested in the MCSI World Index for 0.4% per annum with 100% allocation and 5 years of exit penalties?

Is there potentially a higher allocation available (if, for example, it’s for the broker’s friend)?

Thanks.

Nope. Not even a higher rate for the broker, never mind his friend.

If you want a higher allocation rate, you pay a higher annual management fee. It's as if the two have some sort of connection

Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)

 

[Steven Barrett]

Are you sure? 40bps without any advisor fees?

How would Joe Public access that deal?

Davy charge 75bps for their PRSA wrapper - before fund costs.

ITC/ Conexim offer that for Buy Out Bonds, self admin pensions subject to a minimum annual fee of €300. Advisor fees is in addition as are the fund management fee of whatever ETF/ fund you pick. No such thing as allocation rates in the self directed arena.

ITC/ Conexim offer that for Buy Out Bonds

It’s just me, but I would not give my money to a smaller privately owned counterparty.

Conexim use Pershing Securities as their custodian, so the money sits with them. So your money is with a very large, publicly owned counterparty.



Steven
http://www.bluewaterfp.ie (www.bluewaterfp.ie)

 

[no username]

All I can say is that while looking around for pensions, 1.25% AMC was common enough. I contacted the pension provider directly and now have the exact same pension setup at 0.75% AMC.

I do fully accept that the advisory services with this direct approach are much more limited than going through a broker and this is a call people need to make themselves. I also understand that brokers have to wait a long time to actually make money at 0.5% when pensions start from.

However looking at a 25 year build up towards a €1m pension that extra 0.5% AMC represented €60k in advisory fees; I personally felt more comfortable buying advisory services myself as required, doubting I will get anywhere near €60k.

Hi Zenith63,

Would you mind saying who you got the 0.75% AMC with? Thank you.

 

[Zenith63]

Would you mind saying who you got the 0.75% AMC with? Thank you.

Executive PP with Zurich

 

[no username]

Executive PP with Zurich

Thank you Zenith63