Hi All,
I work for a small company who provide a DC pension scheme with Irish Life Funds administered via Invesco.
After a recent report about fees eating the majority of pension investment returns, I was asked to look at our scheme.
Our fees are as follows
Annual fee of 0.55% on 10 Select funds, otherwise annual fee of 0.65% (Irish life get this)
Fee of 3% on Every contribution (Invesco get this)
•Monthly Policy Fee: €3.93 (Not sure who gets this)
•Monthly Pension Authority Fee €0.66 (Govt get this)
We are generally happy with the fund choice from Irish life and the AMC of 0.55 or 0.65%. We have access to a number of passive Index funds (although the seem to be consistently underperforming their benchmarks by about 1%, but that might be a topic for another discussion thread). What I've never been happy with is the 3% Allocation fee on every Contribution. It seems like a huge fee for taking and then delivering our money to Irish life a few weeks later. Possibly Invesco offer some advice but I don't think any of us have ever talked to them (that may be on us rather than on them) but certainly it's not value for money.
I did a Google search looking for alternative options, but to no avail. All the results were either for PRSA's or very basic explanations of what a pension is.
So who can I talk to about possibly moving our pension scheme to reduce our fees?
And does anybody out there have a current employer scheme with better fees that they can recommend?
Thanks
I work for a small company who provide a DC pension scheme with Irish Life Funds administered via Invesco.
After a recent report about fees eating the majority of pension investment returns, I was asked to look at our scheme.
Our fees are as follows
Annual fee of 0.55% on 10 Select funds, otherwise annual fee of 0.65% (Irish life get this)
Fee of 3% on Every contribution (Invesco get this)
•Monthly Policy Fee: €3.93 (Not sure who gets this)
•Monthly Pension Authority Fee €0.66 (Govt get this)
We are generally happy with the fund choice from Irish life and the AMC of 0.55 or 0.65%. We have access to a number of passive Index funds (although the seem to be consistently underperforming their benchmarks by about 1%, but that might be a topic for another discussion thread). What I've never been happy with is the 3% Allocation fee on every Contribution. It seems like a huge fee for taking and then delivering our money to Irish life a few weeks later. Possibly Invesco offer some advice but I don't think any of us have ever talked to them (that may be on us rather than on them) but certainly it's not value for money.
I did a Google search looking for alternative options, but to no avail. All the results were either for PRSA's or very basic explanations of what a pension is.
So who can I talk to about possibly moving our pension scheme to reduce our fees?
And does anybody out there have a current employer scheme with better fees that they can recommend?
Thanks