Personal Pensions

These are almost the same as the Stakeholder Pensions, with a few exceptions. They do not have to adhere to the minimum standards, but, because we live in a competitive world, most follow them fairly closely at present. In fact;

• Many Providers have reduced their charges even below the Stakeholder ‘benchmark’ levels to make them even more competitive. Some, however, can be more expensive.
• The contribution limits vary.
• Flexibility of contributions is normally the same.
• Penalty free transfers are normal.
• The investment choice is generally much wider, with external and specialist funds available in some cases, although sometimes at an extra cost.

If we are analysing and comparing suitable Personal Pension providers for you, we would always consider and compare the merits of Stakeholder schemes. A very important factor is the level of charges, as this will have a major effect on the size of your eventual retirement fund. As we prepare comparisons on a like for like basis, we will assume the same rate of growth will apply to all providers and all funds. The resulting projections will then clearly show the effect of all charges up until retirement, as this will be the only difference between them. The actual level of charges must be built into the projections and therefore take account of all deductions, including any commission paid.

As a matter of course, we will also analyse fund choices available and their performance, the level of risk involved, their ratings and match them with any opinions or preferences you have.

There are now potentially quite large advantages to be gained from a pension arrangement, unlike any other form of investment in the UK, but there are also some disadvantages which you should be aware of before you make your decision. - Remember, with Surrey Financial Advice, any initial consultation is free of charge (apart from a cup of coffee, perhaps) and you are under no obligation to proceed.    [Contact us]