Your Pension Review

Introduction

Apart from your own home, the next largest investment decision you will make and asset you are likely to own is your Pension Fund. The decision and advice you receive with regard this asset can have far reaching implications, both during your working career and also, probably even more importantly, the decisions you make as you enter retirement and beyond.

There can be many simple decisions that you make now to ensure your pension assets, are appropriate to meet your needs, adequately reflecting your retirement goals and compares favourably to your attitude towards investment risk.

Furthermore, it is vital these goals and objectives are reviewed frequently, with your adviser, to make sure your pension is on track and reflects your changing lifestyle as you approach retirement.

Pension planning can be very complex, with pension legislation constantly evolving, because of this you should ensure that your adviser is appropriately qualified to a high level and is equipped to provide advice on all aspects of pension planning.

Key areas where your pension MUST be reviewed

Although not an exhaustive list, the following are some key lifestyle events when it is vital you review your pension with an appropriately qualified adviser:-

  • Recently moved to the Isle of Man from another Jurisdiction
  • Planning to leave the Isle of Man for another Jurisdiction
  • Changes in Legislation or taxation
  • Change in Employment
  • Change in Health
  • Preparing for Retirement
  • Changes in your attitude towards investment risk
  • On Marriage or Divorce or Family Death
  • If you have not reviewed your pension for a number of years

Action

At Hockney Stevens we recognise that each clients circumstances are unique and different, thus in order to be able to adequately review and comment on your existing pension and associated investments, we would need to examine your pension in detail. This allows us to establish if your pension still meets your retirement needs, whether there are any cost savings to be made and or if better performance can be achieved.

How does the review work?

  • Arrange an initial meeting with Hockney Stevens at our expense, to review your current pension contracts and establish your current risk profile.
  • Complete the client instruction authority for each existing pension arrangement.
  • We will then contact the existing pension provider to assess their true fees and performance.
  • Analysing the information detailed below we then provide you with a review and comparison report.

What is the Pension Review & Comparison Report designed to examine

Review & Comparison

In simple terms your pension arrangements will be examined in detail with regard the following key areas:-

  • Review current Pension contract charges and investment management charges against current equivalent.
  • Comparison of underlying fund performance and how this can be improved.
  • Compare suitability of existing investment selection when originally established versus suitability of investment selection in todays sophisticated investment markets.
  • Establish investment risk associated with existing investment selection and compare how this matches your current attitude towards investment risk, identifying and exploring any discrepancies.
  • Consider the impact of any legislative changes on your pension since originally established.
  • If Isle of Man resident with existing UK pension arrangements, compare advantages and disadvantages of relocating existing arrangements to Isle of Man.
  • If you are approaching retirement, we will provide details of options available to you, clearly pointing out advantages and drawbacks and understanding any taxation implications, an example of these options explored would be:-
    • Death Benefits – pre & post retirement and UK versus IOM.
    • Pension Commencement Lump Sum versus Phased Retirement, benefits and drawbacks.
    • Drawdown – how does it work, what does it mean to you, advantages and disadvantages, influencing factors and the importance of proper and appropriate investment advice.
    • Annuities – comparing to Drawdown and understanding how annuities work and where they can help you.
Solution and Conclusion

Your personal review and recommendation report concludes with a simple summary of the key issues and areas of greatest attention required, offering solutions designed to improve your pension planning and future retirement options.

Fees and Charges

  • We will inform you what the cost will be before you select our ‘Your Pension Review’ process.
  • You will have the option to accept our fees before any work is undertaken on your behalf.
  • Our fees are simple and clear.