IFAs must break away from the more traditional focus on spreading pension arrangements and consolidate their clients’ pension pots before vesting funds, says Hargreaves Lansdown head of pensions research Tom McPhail.He told delegates at the round table that a wrinkle in A-Day rules makes it imposs- ible for clients with more than one pension pot to start drawing down funds from one pot and then transfer funds from another arrangement into that pot. McPhail argued that this development can benefit advisers as it promotes the tidying up of pension arrangements. He said there is a strong argument for IFAs to advise clients not to wait until they want to vest funds and instead consolidate their pension arrangements as soon as possible. Standard Life head of pensions John Lawson said this marks a break away from the traditional doctrine of spreading clients’ pension funds. He said: “It has become logical to tidy up pensions and set up one pot. The previous doctrine going back over 20 years has been to spread your eggs but what is the point. What are you buying from insurers these days? “You are not buying fund management, you have all the funds you want on a platform or any fund in the world on a Sipp. “All you are buying is admin and if the admin is good enough, why would you feel the need to move that?”
International stock markets have shrugged off news of North Korea’s successful nuclear test despite local markets falling on hearing the news.All Asian markets fell with the exception of Japan and Taiwan which were closed for public holidays, with the Korean market suffering the biggest falls.It fell by 2.4 per cent having been down 3.6 per […]
Any assessment of the way the wind is blowing in Whitehall suggests that Asps will be scrapped. For months now, an argument has raged between Government and opposition parties, the regulator, pension companies and advisers over the status of alternatively secured pensions. The Government wanted them restricted to people with religious objections to annuities. The […]
On-Line Partnership has reported a two-thirds increase in profits for the year to June 30 from 743,253 to 1.23m. Turnover increased by 23.7 per cent from 23.1m to 28.6m.
Predictions of an admin meltdown after A-Day have pro- ven overblown but there are plenty of other problems around the corner, warned panellists at the Money Marketing Sipp round table. Specialist pension IFA Richard Jacobs admitted his predictions of an A-Day meltdown, with providers buckling under increased volumes of business, have not happened. He said […]
The Pensions and Benefits UK Conference takes place this week, where Jelf will have a stand.
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