QROPS Fees

[al007]

8 minutes ago, YorkshireTyke said:

Thanks again for sensible replies. My company scheme is with BAE Systems, I worked for them for over 30 years incl 10 years in Saudi before I retired early.

 

 

BAE have just appointed HL as their go to company for pension transfer/drawdown etc so I contacted them last week but as I live outside the EU they cannot assist me. I moved here when I retired from Saudi 5 years ago and do not maintain a UK address.

 

Please keep this thread going, I find it very useful and interesting and I am sure others are reading and absorbing for their own situation.

 

 

OK so we move forward, I promise you Tyke my wish is to not only help you but also others, I would not devote this amount of time to one person I do not know

 

Ok so BAE that I believe is very ; in fact excellent news

 

I am not sure of the exact ownership today, maybe you can help, but from memory it was longtime ago UK government owned

 

It will not be allowed to go bust ( pension scheme )

 

I referred in my previous post  to Hargreaves Lansdown idea as being grey, as they say if you live outside the UK they can not help which is why I asked if you had UK address

 

OK The BAE pension fund wants to help itself, and the more transfers out, and transfers of its liabilities the better for the fund, and the bonuses of the fund employees

 

As a previous trustee of large UK schemes, I know how to make big profits for the scheme on transfers out

 

Many BAE employees were unionised and if that applied to you maybe the union can advise and help you

 

If you had said your fund was BHS (British Home Stores) I would have sad grab what you can and run

 

So this removes immediate urgency

 

You have to walk your own walk, I am 98.5% certain you will find little honest good financial advice in Asia, most will be looking to earn £20/40,000 plus plus and the worst upto 100,000  from you in undisclosed ways, but you have to go that path first

 

Get a written statement that they declare to you all their commissions and rebates

 

I would hazard a guess your transfer value is at least  250,000pounds plus a bit, serious money with 30 years pensionable service, on a final salary basis

 

Without knowing a lot more difficult for me to comment more, you are definitely a very attractive deal for even any honest good financial adviser

 

BAE is exceedingly good employer call them and ask them to recommend an adviser but still do not trust them, it is in BAE strong interests to sell your pension on it helps their solvency greatly

[YorkshireTyke]

Thanks also for the PM's.

[al007]

I have stated I believe QROPS is without doubt appropriate for Yorkshire Tyke

 

I personally believe Gibraltar is the best location for a Thailand retiree

 

The annual recurring costs can probably be below what I currently Pay £800, some providers are also offering free set up

 

I also like self managing because only I have day to day control over the investments

 

I also Like the Interactive Brokers platform I use the dealing costs are non existent almost and irrelevant to performance

 

BUT for those who do not feel confident self managing the choice is not easy

 

Generally on UK companies with large deficits there are some very big companies, but as interest rates rise those deficits will drop, and often be fully eroded

 

An interesting article on deficits from the FT

https://www.ft.com/content/a0cf5e4a-7980-11e6-a0c6-39e2633162d5

[al007]

I paste a link I just received re pension horror stories

 

http://pension-life.com/pension-scam-victims-story/

 

This happened in the UK where it is highly regulated, imagine what can happen in places like Asia which is totally unregulated

[al007]

I have a couple of individuals I hold in vert high esteem Warren Buffet, and lesser know Steve Schwarzman , and I enclose a link to some valid points he makes, I as an individual fit very much into his type of entrepreneur, the relevance is he says understanding finance only comes with years of experience, and I suggest Yorkshire Tyke needs some high quality help and guidance

 

http://www.investopedia.com/articles/personal-finance/030716/stephen-schwarzman-5-tips-wall-street-entrepreneurs.asp

 

Some of the offshore banks like LLoyds TSB Isle of Man might just be able to offer this help, you need to be a high net worth customer to be eligible but Tyke fits into that profile, I also bank there and they are very friendly

[al007]

A site with a lot of QROPS INFO

 

http://www.internationalinvestment.net/?utm_source=Adestra&utm_medium=email&utm_term&utm_content=Visit Website&utm_campaign=Daily Auto - Manual subject line&utm_campaignid=2498&utm_cmdid=70131

[YorkshireTyke]

I can't read the article of pension defecits in the FT as it seems you have to subscribe to read it.

[al007]

5 hours ago, YorkshireTyke said:

I can't read the article of pension defecits in the FT as it seems you have to subscribe to read it.

Google BAE pension fund

 You will find this link, I have no FT subscription, maybe they need your email first

 

[theoldgit]

I've removed an off topic post which has already been posted in the UK Pensions thread.

[metisdead]

A post commenting on moderation has been removed:

 

10) Do not discuss moderation publicly in the open forum; this includes individual actions, and specific or general policies and issues. You may send a PM to a moderator to discuss individual actions or email support (at) thaivisa.com to discuss moderation policy.

You will not block contact with moderators or administrators. Doing so will result in suspension.
 

[ubonjoe]

A off topic post has been removed. A repeat of it or any comments about its removal will result in a formal warning.

[Loiner]

Lots of obviously knowledgeable advice from two posters there, but which to follow? Need some sound advice - don't take any from the fiancial conmen lurking around Thailand! That doesn't mean the boiler room boys, as you are probably not on their radar anyway, plus scamming too close to home could have very serious consequences for them.... At all costs avoid the local IFAs and any others who swan in from other countries.

 

A poster noted above that it is now becoming increasingly difficult to get proper UK based advice if they know you are not based back in god's own country. AFAIK back in blighty is the only place you can make the investment (subject to Oxx comment) and have some protection. Legal protection and recourse to reimbursement is an absolute must, unless you are prepared to take risks with your pension pot.

 

The FCA has loads of warnings about scams: https://www.fca.org.uk/consumers/avoid-scams-unauthorised-firms  They may not all be appropriate for your situation, but you get the gist. Odds on that none you meet in Thailand are authorised.

 

Even if investments you may consider are not out-and-out scams from the start, you still need the protection if it all goes tits-up.  #LMFundScandal.  Although ours was eventually shown to be an elaborate ponzi scheme, how did none of those supposed to be giving us sound advice for a well regulated location, see it coming? Yes, right up to the week the funds collapsed! All the advisors enjoying the Aussie hospitality while supposedly doing their due diligence, were in fact doing DILLIGAF. They took their excessive commissions and ran.

 

Also don't be fooled by offers of seemingly safe insurance company wrappers and Bond Providers, who insured nothing, provided nothing, took their fees and ran. Same for the Trustees, who were not to be trusted, but took their fees and ran. 

 

Maybe your BAE pension sounds safer where it is?

 

[al007]

4 hours ago, Loiner said:

 

Maybe your BAE pension sounds safer where it is?

 

I believe for the OP a qrops is good problem is which one to choose and how to manage the investments

 

Your comment above is and could be true but I somehow doubt it

 

I have been stamped on a couple of times on this thread, and had posts removed,but have betterQROPS knowledge than 99% of people I am also in contact with HMRC QROPS dept in london

 

If anyone wants to talk privately PM I seek no reward whatsoever I will give my phone number

[howerde]

Maybe a bit late  but  a CETV value of 18,  is not that attractive,  if your company pension age is 65 you should be looking at at least 20 times or if it is 60 years then 25 times, i am aware of someone being offered a CETV value of X 45. 

[al007]

5 minutes ago, howerde said:

Maybe a bit late  but  a CETV value of 18,  is not that attractive,  if your company pension age is 65 you should be looking at at least 20 times or if it is 60 years then 25 times, i am aware of someone being offered a CETV value of X 45. 

Maybe true but maybe not

 

if you can achieve a better return you can do better and also acess funds much earlier

 

I have averaged nearly 20 % over the last 5 years with blue chip equities and in the last nine months done 27% with the likes of BAC, GS, JPM and C, not what I consider high risk stocks, in the last year I also held RDS and BP both yielding 6.5% but cashed out with 35% gains in a year when I felt they were stagnating

[YorkshireTyke]

13 hours ago, howerde said:

Maybe a bit late  but  a CETV value of 18,  is not that attractive,  if your company pension age is 65 you should be looking at at least 20 times or if it is 60 years then 25 times, i am aware of someone being offered a CETV value of X 45. 

 

Thanks Loiner & Howerde.

 

To quote Loiner maybe my pension is better off with BAE, I thought so too until recently and I could easily live a reasonable life with what they are offering. But massively underfunded and 8 years to invest and grow the lump sum is tempting if only all investments were guaranteed and straightforward !

 

Howerde I have been shown examples of CETV 's at 35+ so 18 is reasonable but not big enough to take without a lot of consideration.

 

I need to wait until 65 to get my pension in full. I can take it now at 56 but it's around 50% of what I would get at 65.

[al007]

1 hour ago, YorkshireTyke said:

 

Thanks Loiner & Howerde.

 

To quote Loiner maybe my pension is better off with BAE, I thought so too until recently and I could easily live a reasonable life with what they are offering. But massively underfunded and 8 years to invest and grow the lump sum is tempting if only all investments were guaranteed and straightforward !

 

Howerde I have been shown examples of CETV 's at 35+ so 18 is reasonable but not big enough to take without a lot of consideration.

 

I need to wait until 65 to get my pension in full. I can take it now at 56 but it's around 50% of what I would get at 65.

Get your pension calculated under actuarial basis with reasonable growth rather under GADD rules and you will find a very different result

 

I switched to Actuarial basis two years ago and doubled my pension payment

 

I have also in the last 9 mths achieved 27% growth with blue chip Dow stocks  !!

[al007]

Bad news Yorkshire Tyke, I guess you were still deliberating, as from midnight today 25% tax on pension transfers to Qrops, makes a big hole in the future returns

 

I have another alternative for you, because it may still pay you to transfer out of company scheme, with prudence I still believe you can achieve a much higher pension, it could also pay you to take the 25a5 tax hit now, because in the future pension could still be paid almost tax free, if kept in UK tax will be paid on all payments you need a good adviser

 

Five yrs ago I was going to guernsey based QROPS but they were delisted which is why I got the hell out and went to gibraltar ASAP

[maprao]

My advice op
Leave it where it is

Sent from my SM-N9005 using Thaivisa Connect mobile app

[YorkshireTyke]

I will be at the moment after the latest budget announcement.

[al007]

54 minutes ago, YorkshireTyke said:

I will be at the moment after the latest budget announcement.

Maybe ok but not necessarily depends on many factors

 

If you leave it in the UK when you draw it you will regardless of where you live pay tax on it, and its income, there is also talk of removing the personal allowances for those who do not live in the UK, and that would substantially increase the tax payment on it

 

Also ask BAE in view of this will they elevate the transfer value so you would still get the same pension, I doubt it but at least ask

 

Sit down with a calculator and do the figures, assume say you average 6% growth see how the figures come out

 

It is possible it pays to take the hit now