Non-Standard PRSA: any options ?

RomainC

Registered User
Messages
3
Hi,
I started working in Ireland a few months ago, and am contributing to my company's pension plan.
However, I would like to contribute for my pension further, and I thought a PRSA could be a good option. I read that there are 2 types: a standard PRSA and a non-standard PRSA.
A standard PRSA seems pretty limited in the choice of funds to invest in, and I read that a non-standard PRSA had less restrictions. However, I have trouble finding non-standard PRSA information on providers' website. (I did find this list though: [broken link removed])

So I would like to know which are the best non-standard PRSA providers in Ireland (number of funds to selectr from, and low fees are important to me) ?
 
I may be wrong, but I don't think you can contribute to both an occupational scheme and also a PRSA in respect of the same employment income.
 
Correct Username, it has to be a PRSA AVC plan.

Romain, can you be more specific in what you are looking for regarding your PRSA requirements? There are loads of PRSA's that you can invest in. Asking which is the best one is like asking which is the best car to drive.

Steven
www.bluewaterfp.ie
 
Thanks both, I didn't know I needed to open a PRSA AVC plan.
The reason I was looking for a (non-standard) PRSA outside of my company's pension is because I wanted a large selection of index funds/ETFs to choose from to invest in for my pension, with as low fees as possible (so an "Execution-Only" type of PRSA).

But since, PRSA AVC plans have only a few mutual funds to choose from, is there any benefit to opening a separate PRSA AVC plan (from another provider) as opposed to just making additional contributions to my company's pension funds ?
 
But since, PRSA AVC plans have only a few mutual funds to choose from, is there any benefit to opening a separate PRSA AVC plan (from another provider) as opposed to just making additional contributions to my company's pension funds ?
There is any number of reasons:
  • risk diversification
  • charges: do you know what the charging structure is within your company AVC scheme?
  • draw-down choices: does your company scheme convert your fund into income at retirement (apart from the lump-sum you can draw down)? A PRSA would allow you the flexibilty to draw benefits through an ARF or whatever other vehicles will be available by the time you retire. This would allow you postpone some of your drawdown and provide better for any dependents or chosen ones on your death.
Is the choice of funds available from standard PRSA providers really that bad?
 
I wanted a large selection of index funds/ETFs to choose from to invest in for my pension, with as low fees as possible (so an "Execution-Only" type of PRSA)

Remember, all PRSA's have an annual management fee which is the charge by the insurer to run the plan for you, covering their compliance costs, light & heat, wages and profit. Expect to pay 1% AMC whether you invest in ETF's or mutual funds. Then you have your trading costs which are not disclosed by the insurance companies.

You can trade through Stocktrade with Standard Life, or you can look at Irish Life or New Ireland for indexed funds.

Steven
www.bluewaterfp.ie
 
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