Investment Manager

Jason – UK Investment Manager

Client comments

“I first came across your name and company in a press article on Final Salary Pension transfers and, as somebody that himself works with occupational pension schemes, I knew that I wanted this firm to provide me with advice on my own pensions. Every aspect of the service has been first class from initial contact to all ongoing work. The clarity, thoroughness and quality of work and advice has been exemplary – for somebody like me, Nicola’s insights and willingness to challenge my own assumptions has been most welcome.”

Problem

Jason works in the investment world of Financial Services. He has a pension from a previous employer and is interested in moving the pot away from that scheme and to manage it in his own way. He has received a transfer value February 2017 but it runs out mid-April 2017. He would like control over the investments but he is not sure of the offer he has been given is a good one. He has also learned that he needs a qualified IFA to sign off the transfer advice.

If he does nothing with the information then he may lose significant flexibility relating to his investments and pension income.

As an investment adviser to a number of Final Salary Pension schemes, he is concerned that his pension will be ‘full of holes’ too.

What we did

We agreed with Jason to illustrate a few scenarios.

  1. Comparison of the two schemes – stay or transfer – looking at revalued pension to date, early retirement at age 55 and a projection to normal retirement date.
  2. These illustrations also showed the benefits to his wife Sarah.

Measurable results

  • Staying in the scheme at early retirement would give £4,329 per annum versus £9,345 per annum if he transferred
  • In the event of his death his wife would get £2,165 per annum versus £233,638 lump sum.
  • At normal retirement age 65, he would get £6,606 per annum if he stayed versus £12,298 per annum if he transferred.
  • The projected figures assumed 4% growth on investments.
  • A total of over £160,000 was transferred to their family balance sheet.

Note: The events and figures quoted in this case study are from a real Trentham Invest client; however, the names have been changed to protect client confidentiality.