Should I cash in pensions

pavb2

Registered User
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Hi all I know I'm straying in to financial advisor territory but I have 2 company directors pensions. I've just turned 50 and am resigning as a company director so potentially I can take my 25% lump sum from one or both of my pensions and buy an annuity or AMRF.

1st pension invested 50k now worth 60k after 12 years

2nd pension invested 100k now worth 75k (45k 5 years ago)

I don't think there is much point getting an annuity as this was quoted at 3%. I'm not desperate for the money at the moment but I know I can get a better return on the cash if invested elsewhere particularly for my 1st pension.

So should I cash in one both or none of the pensions?

Is there a downside to taking the 25% and leaving the rest in an AMRF is this not just the same of what I'm actually doing now as I haven't made any contributions for the last 4 or 5 years.

A vested PRSA was suggested by a helpful member on another forum.

Any advice gratefully received
 
Hi Steven

The 1st pension is with aviva and hasn't performed.

Pension no 2 was originally irish life and I got well and truly clobbered, down about 45k at one stage I've since moved this to Zurich and within the last 4 years it has seen some growth but still approx 25% down.

My thinking now is to take 25% of both total €34K and invest it elsewhere possibly uk property market.

Transfer what remains with aviva to Zurich into an ARF/AMRF
 
Hi Pav

I would say you need to form an investment strategy. What kind of return are you looking for, what level of risk are you willing to take to get it. What trade-offs, if any are you willing to take, how much can you afford to lose?

When you have all those questions answered, you can look at the asset classes needed to implement the strategy.


Steven
www.bluewaterfp.ie
 
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