Exempt fixed interest fund with Irish Life

[riddles]

I opened an exempt fixed interest fund with Irish life in 2005 - I currently have about 30k in the pension fund - to be exact I have contributed 30,379 and its worth €30,963. Considering the current dip in the market I was wondering if I change to the higher risk option and avail of any potential upturn. I logged into pensionplanet.ie and selected Irish life Bank of Ireland pension management selected March 07 and sept 08 - interpreting this does it mean that;

• to buy into this fund was €220 per unit one year ago and it is currently €160 down 52€ or 24%
• are there much charges associated with moving to another pension provider.

Sell price Buy price Price date Unit Type
160.30c 168.70c 16 Sep 2008 Accumulation
163.40c 172.00c 16 Aug 2008 Accumulation
155.20c 163.40c 16 Jul 2008 Accumulation
168.70c 177.60c 16 Jun 2008 Accumulation
180.60c 190.10c 16 May 2008 Accumulation
174.30c 183.50c 16 Apr 2008 Accumulation
173.70c 182.80c 16 Mar 2008 Accumulation
177.90c 187.30c 16 Feb 2008 Accumulation
185.00c 194.70c 16 Jan 2008 Accumulation
196.20c 206.50c 16 Dec 2007 Accumulation
193.50c 203.70c 16 Nov 2007 Accumulation
206.60c 217.50c 16 Oct 2007 Accumulation
201.70c 212.30c 16 Sep 2007 Accumulation
200.50c 211.00c 16 Aug 2007 Accumulation
215.70c 227.10c 16 Jul 2007 Accumulation
216.00c 227.40c 16 Jun 2007 Accumulation
215.70c 227.00c 16 May 2007 Accumulation
210.40c 221.50c 16 Apr 2007 Accumulation
Irish Life 18 Sep 2008

thanks

 

[LDFerguson]

You're correct in your interpretation of the unit price figures.

You'd have to check what the charge for switching (if any) is with your scheme administrator or broker. Ir differs from one arrangement to another.

 

[riddles]

cost of buying into an equity based fund?

Thanks Liam,

If I requested to transfer into an equity based do I buy in at the price listed on the day of entry. Does anyone have recommendations on a fund to buy into?

Also, in an equity based fund - are dividends accrued from the purchase of shares diverted back into the fund?

thanks

R

 

[LDFerguson]

You buy in at the price of the day of entry but that price generally isn't published until the following day.

Most equity-based funds pay dividend income back into the fund. Some equity funds ("high yield equity funds") specifically target shares with a proven track record of paying above-average dividends for this very reason. But you should check with the individual fund that dividend income is reinvested before committing just to be sure. Occasaionally tracker bonds are packaged as pension funds and these don't re-invest dividends.