Unwanted pension adviser

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dub_nerd

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I quit my job some years back and my pension got moved into a personal retirement bond. At the time I got a letter from a certain individual who had acted as some sort of pension adviser to my former company. I have no idea if this individual is acting as some sort of broker and actually making commission off my pension, but I suspect that is the case as he is hardly doing it for the good of his health. I've never made any contact with him or requested his assistance.

Last week I phoned the pension company (not the adviser) and made some changes to the funds my PRB is invested in. Shortly after, I got a letter from the adviser's secretary noting that I had made changes and requesting me to fill out a form to inform her boss about my risk appetite. I have no intention of communicating with this individual whose help I never solicited in the first place. But obviously there is some formal connection between him and the pension company as they are keeping him in the loop.

Do I have to retain him? Or can I ring the pension company and tell them to cut him off? Might I have agreed to some sort of arrangement by default when I didn't respond to his original letter?
 
Do you have another adviser? I know last year I got my adviser to give me an agency transfer letter that I just had to sign and send to the pension provider, and now everything goes through him (i.e. I get an annual statement).
Not sure what the protocol is if you just want him removed, but I'm sure the pension providers want an agent as then the responsibility for consumer protection around suitability lies with the agent.
 
dub_nerd said:
I quit my job some years back and my pension got moved into a personal retirement bond. At the time I got a letter from a certain individual who had acted as some sort of pension adviser to my former company. I have no idea if this individual is acting as some sort of broker and actually making commission off my pension, but I suspect that is the case as he is hardly doing it for the good of his health. I've never made any contact with him or requested his assistance.

Last week I phoned the pension company (not the adviser) and made some changes to the funds my PRB is invested in. Shortly after, I got a letter from the adviser's secretary noting that I had made changes and requesting me to fill out a form to inform her boss about my risk appetite. I have no intention of communicating with this individual whose help I never solicited in the first place. But obviously there is some formal connection between him and the pension company as they are keeping him in the loop.

Do I have to retain him? Or can I ring the pension company and tell them to cut him off? Might I have agreed to some sort of arrangement by default when I didn't respond to his original letter?
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Just check if your old company are covering the management charges can be worth a few % per year if they are, They may still be covering cost of changes you make to your buy out bond have seen it happen in the past
Company may still be covering the commission and transfer charges and advice ,
 
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RedOnion said:
Do you have another adviser? I know last year I got my adviser to give me an agency transfer letter that I just had to sign and send to the pension provider, and now everything goes through him (i.e. I get an annual statement).
Not sure what the protocol is if you just want him removed, but I'm sure the pension providers want an agent as then the responsibility for consumer protection around suitability lies with the agent.
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No, no other adviser. Not that this person is an "adviser" -- I've never had any contact with him apart from one unsolicited letter, and nor would I ever choose him for advice. I particularly don't want him contacting me when I make decisions without his involvement. If I tell the pension company to cut him out of the loop do they have to comply or it possible they have some sort of contractual arrangement with him? How long does that last? If they are concerned from a consumer protection angle is it not strange that they made changes to my fund upon direct request from me?
 
When you transferred your benefits to a PRB, this advisor was the one who did it for you and so is named as the agent under the policy. He will remain there until the insurance company is told otherwise. If you make changes to your policy, he will be copied in on any correspondence issued out to you.

You can instruct the insurance company that you would like them to be the appointed agent under the policy.


Steven
www.bluewaterfp.ie
 
Thanks SBarrett. Just wondering -- as agent is he getting a commission, and is that ongoing or once-off? Is he just fishing for further business by soliciting me to fill out a risk form?
 
dub_nerd said:
Thanks SBarrett. Just wondering -- as agent is he getting a commission, and is that ongoing or once-off? Is he just fishing for further business by soliciting me to fill out a risk form?
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I don't know. It depends on how the contract was set up at the outset. They may be, it is impossible to know without asking them.

Don't think he is fishing for more business. Sounds like they are trying to keep their files in a compliant manner. There is a huge amount of regulation paperwork involved these days, especially with MiFID firms. One requirement is to ensure that the investment strategy suits the clients risk profile. While insurance companies aren't MiFID firms, it can be seen as best practice to apply this to all clients.

You can always ignore it.

Or send them a polite email saying there's no need for them to contact you, you'd prefer to do your own thing.


Steven
www.bluewaterfp.ie
 
SBarrett said:
I don't know. It depends on how the contract was set up at the outset. They may be, it is impossible to know without asking them.

Don't think he is fishing for more business. Sounds like they are trying to keep their files in a compliant manner. There is a huge amount of regulation paperwork involved these days, especially with MiFID firms. One requirement is to ensure that the investment strategy suits the clients risk profile. While insurance companies aren't MiFID firms, it can be seen as best practice to apply this to all clients.

You can always ignore it.

Or send them a polite email saying there's no need for them to contact you, you'd prefer to do your own thing.


Steven
www.bluewaterfp.ie
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Out of interest have you ever seen a company cover cost of advice where the pension originated from and was managed along with the main scheme,
 
Gordon Gekko said:
Is it worth talking to this individual? He/she seems to have really grinded your gears!
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I know of the person by reputation. I'm not interested in doing any business with them. Can't really say more on a public forum.

SBarrett said:
You can always ignore it. Or send them a polite email saying there's no need for them to contact you, you'd prefer to do your own thing.
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Yeah, I think I'll just check with the pension company whether they can lop them off. Plan B will be to ignore them.
 
RETIRED2017 said:
Out of interest have you ever seen a company cover cost of advice where the pension originated from and was managed along with the main scheme,
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I don't fully understand what you are saying. Are you asking if a company has covered the cost of a PRB for an ex employee?

I've seen a company pay my cost for transferring the benefits out. I have never seen them pay the ongoing costs. I don't think a life companies system would allow it.


Steven
www.bluewaterfp.ie
 
MrEarl said:
or as a potential alternative Plan B, move to someone you are happy with ? :)
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With respect to the people in the advice business here, I've never met a finance person I would trust (although I admit it's a very small sample). I find the whole pensions business very opaque, and nobody who is selling information has a vested interest in giving you a clear picture. I prefer to collect the information that appears in dribs and drabs on AAM, do my own fact finding, and plot my own course.
 
dub_nerd said:
With respect to the people in the advice business here, I've never met a finance person I would trust (although I admit it's a very small sample). I find the whole pensions business very opaque, and nobody who is selling information has a vested interest in giving you a clear picture. I prefer to collect the information that appears in dribs and drabs on AAM, do my own fact finding, and plot my own course.
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Hi,

Just for the avoidance of doubt, I don't work in the pension industry.

I do however have both a DC fund and a Buy out Bond to "keep an eye on", so I have some experience in dealing with advisors etc.

There are good and bad people in the pensions industry, just like anywhere else. To give some credit, I think the pensions industry is a lot better than it was 10-20 years ago. The days of the door to door salesman are gone for ever and I doubt we'll ever miss them.

Like you, I enjoy learning, researching and paddling my own canoe. But that said, I also know that you cannot get enough good advice, so I'm more than happy to look to the professionals in the industry to help me make my decisions - I just don't let them make the decisions for me :)
 
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