Monthly Archives: March 2014

Lifetime Allowance Reducing – Are you affected?

If you hold a pension pot equating to more than 1.25m then you need to act now to protect your future pension.

In April 2014 the Lifetime Allowance, which currently stands at 1.5m will be reduced to 1.25m. This will mean that those affected will be subject to a lifetime allowance tax charge on an extra £250,000 of their pension.

If this affects you, it is now time to explore a lifetime allowance protection scheme which works for you ensuring that you achieve the pension and retirement you have planned.  The most recent fixed protection schemes have been available for clients from August 2013 but it’s not too late to join and with the April deadline nearly upon us now is the time to act.

Don’t forget – the lifetime allowance test calculations for occupational and personal pensions are different.  If you are unsure whether or not you could be at risk please do not hesitate to call.

Call or Email us now for a  review of your pension and circumstances.

What are Discretionary Fund Managers?

A Discretionary Fund Manager is a third party professional manager who will work for the benefit of the client and help protect their investment from losses and maximise potential for growth.

When choosing this route, clients will be assigned their own highly qualified investment manager, who will hold the accountability for their portfolio and will meet with them on a regular basis.

These fund managers are able to personally choose individual portfolios for clients ensuring that their specific needs & objectives are met.

A positive aspect of this is that the fund manager can monitor the client’s portfolios on a very regular basis and because of the authority they hold they are able to act on the clients behalf to make amendments if it is in their best interests. They are able to respond more quickly to market changes and therefore potentially add more value than a portfolio that is reviewed on an annual basis.

Clients can also expect to be provided with regular investment reports.

Because discretionary Fund Managers are not restricted to certain investments they are able to open up clients choices into a wider range of assets, such as investment trusts and FTSE 100 shares.

Please contact us at Understand Your Pension if you would like to find out more about Discretionary Fund Managers.