| Pension Experts 22:11 - Aug 16 with 2572 views | BlueBlueBluex2 |
Since October my pension has risen 25% in value. Why is this and is it likely to keep rising at this level for much longer? Is coming out of Covid the cause of the dramatic rise in value? |  | | |  |
| Pension Experts on 22:15 - Aug 16 with 2523 views | J2BLUE |
Not an expert either so take this with a pinch of salt but I think it's post covid. It probably isn't anywhere near 25% up on January 2020 but during covid shares fell off a cliff. |  |
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| Pension Experts on 22:16 - Aug 16 with 2519 views | Alberto_the_frog |
Share indices have risen with relatively good news on covid in developed markets. Will not continue indefinitely and has already slowed. As they dipped at start of lockdown then recovered, mine went up 30% March to March. |  | | |
| Pension Experts on 22:19 - Aug 16 with 2498 views | BlueBlueBluex2 |
| Pension Experts on 22:16 - Aug 16 by Alberto_the_frog |
Share indices have risen with relatively good news on covid in developed markets. Will not continue indefinitely and has already slowed. As they dipped at start of lockdown then recovered, mine went up 30% March to March. |
From a -20% drop in March 20 I have today hit +24% so that’s some turnaround. | | | |
| Pension Experts on 22:23 - Aug 16 with 2474 views | J2BLUE |
| Pension Experts on 22:19 - Aug 16 by BlueBlueBluex2 |
From a -20% drop in March 20 I have today hit +24% so that’s some turnaround. |
That's not overall is it? It's still down?
For example, starting pot £100k
£100k * 0.8 = £80,000
£80k * 1.24 = £99,200 | |
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| Pension Experts on 00:17 - Aug 17 with 2254 views | BlueBlueBluex2 |
| Pension Experts on 22:23 - Aug 16 by J2BLUE |
That's not overall is it? It's still down?
For example, starting pot £100k
£100k * 0.8 = £80,000
£80k * 1.24 = £99,200 |
It’s swung 40+% which is why I asked as it just does not make sense. | | | |
| Pension Experts on 07:54 - Aug 17 with 2000 views | textbackup |
Has your pension been invested in a L1 football team that play in blue?
That’ll be the reason for the rise, because it’s the finest football team, the world has ever seen... |  |
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| Pension Experts on 08:14 - Aug 17 with 1956 views | ElephantintheRoom |
Means very little depending on how long you have had your pension - when you plan to take it - and what happened in previous years - for example if it was loaded in shares that dropped like a stone last year on covid fears - but have now recovered your pension could have gone down over two years, despite having grown 25% this year.
Always a good idea to become a pension 'expert' - as you dont need much expertise, if any - hence the low standard of financial adviser in this country - and rip off pension industry
Take the time to check up on self invested pensions and tax efficient investments as an alternative to pensions - pension tends to be smoke and mirrors - you get tax relief on what you put in - but get taxed on the pension after you take your tax-free lump sum - basically a long term bet from the government that you'll pay a lot more tax on your money long term. | |
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| Pension Experts on 08:30 - Aug 17 with 1910 views | PrideOfTheEast |
| Pension Experts on 08:14 - Aug 17 by ElephantintheRoom |
Means very little depending on how long you have had your pension - when you plan to take it - and what happened in previous years - for example if it was loaded in shares that dropped like a stone last year on covid fears - but have now recovered your pension could have gone down over two years, despite having grown 25% this year.
Always a good idea to become a pension 'expert' - as you dont need much expertise, if any - hence the low standard of financial adviser in this country - and rip off pension industry
Take the time to check up on self invested pensions and tax efficient investments as an alternative to pensions - pension tends to be smoke and mirrors - you get tax relief on what you put in - but get taxed on the pension after you take your tax-free lump sum - basically a long term bet from the government that you'll pay a lot more tax on your money long term. |
Definitely worth taking the time to understand it all, and to develop a plan for retirement many years before you reach that point.
Company pensions are almost always a good idea - in particular if you’re company is contributing a reasonable amount. Your deductions are tax deductible. As things stand you can take 25% of your pot tax free on retirement and then you have multiple options with the remainder.
Per posters above - the rise this last year or so will simply be aligned to the stock markets around the world and their volatility as a result of COVID, with a general upward trend year on year. A pension is a long term investment and probably one of the most significant assets you have - look after it and understand it. | | | |
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| Pension Experts on 08:32 - Aug 17 with 1900 views | BlueBlueBluex2 |
| Pension Experts on 08:14 - Aug 17 by ElephantintheRoom |
Means very little depending on how long you have had your pension - when you plan to take it - and what happened in previous years - for example if it was loaded in shares that dropped like a stone last year on covid fears - but have now recovered your pension could have gone down over two years, despite having grown 25% this year.
Always a good idea to become a pension 'expert' - as you dont need much expertise, if any - hence the low standard of financial adviser in this country - and rip off pension industry
Take the time to check up on self invested pensions and tax efficient investments as an alternative to pensions - pension tends to be smoke and mirrors - you get tax relief on what you put in - but get taxed on the pension after you take your tax-free lump sum - basically a long term bet from the government that you'll pay a lot more tax on your money long term. |
Oh I hear you and I am not a complete fool when it comes to the pot I have, however I recently (past 18mnths) consolidated all pots to PensionBee and it since then it has risen steadily, the drop in March 2020 notwithstanding.
If it continues in the same vein then happy days, however I guess my question was more about the wider financial markets and if there has been an increase in share prices as a whole over the past 12 months and if we expect it to plateau anytime soon. | | | |
| Pension Experts on 08:47 - Aug 17 with 1827 views | ElephantintheRoom |
| Pension Experts on 08:32 - Aug 17 by BlueBlueBluex2 |
Oh I hear you and I am not a complete fool when it comes to the pot I have, however I recently (past 18mnths) consolidated all pots to PensionBee and it since then it has risen steadily, the drop in March 2020 notwithstanding.
If it continues in the same vein then happy days, however I guess my question was more about the wider financial markets and if there has been an increase in share prices as a whole over the past 12 months and if we expect it to plateau anytime soon. |
The still relatively recent legislation that gave people access to their pensions is a real life changer - good and potentially bad.
Most people chop and change employers - and have or had many small pension pots - by simply checking on how 'well' these are doing you can move them into a personal pension if you so desire.
Most importantly, you can start a self invested pension - and transfer other pensions into this. You'll be encouraged not to - but the rewards are immense. Pension companies want to you to leave money with them so they can charge you for the privilage and ultimately take out an annuity.... basically a bet on how long you'll live. Returns are guaranteed to be staggeringly low - and as an extra kick in the nuts they keep a large chunk of your money when you die.
IF you have the discipline not to spend your own money - then it is virtually impossible not to do far better investing your own money as you see fit close to retirement - you'll have a bigger pension AND more left over for any loved ones.
And even if you don't - you'll have a lot of fun spending it and enjoying your own money whilst you can - and not end up spending it on care. | |
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| Pension Experts on 08:56 - Aug 17 with 1788 views | BlueBlueBluex2 |
| Pension Experts on 08:47 - Aug 17 by ElephantintheRoom |
The still relatively recent legislation that gave people access to their pensions is a real life changer - good and potentially bad.
Most people chop and change employers - and have or had many small pension pots - by simply checking on how 'well' these are doing you can move them into a personal pension if you so desire.
Most importantly, you can start a self invested pension - and transfer other pensions into this. You'll be encouraged not to - but the rewards are immense. Pension companies want to you to leave money with them so they can charge you for the privilage and ultimately take out an annuity.... basically a bet on how long you'll live. Returns are guaranteed to be staggeringly low - and as an extra kick in the nuts they keep a large chunk of your money when you die.
IF you have the discipline not to spend your own money - then it is virtually impossible not to do far better investing your own money as you see fit close to retirement - you'll have a bigger pension AND more left over for any loved ones.
And even if you don't - you'll have a lot of fun spending it and enjoying your own money whilst you can - and not end up spending it on care. |
I am in the habit of moving over £10k from my works pension into my own each and every time I hit that milestone. I would much rather have full control over where the funds are invested. | | | |
| Pension Experts on 09:31 - Aug 17 with 1701 views | Keno |
| Pension Experts on 08:47 - Aug 17 by ElephantintheRoom |
The still relatively recent legislation that gave people access to their pensions is a real life changer - good and potentially bad.
Most people chop and change employers - and have or had many small pension pots - by simply checking on how 'well' these are doing you can move them into a personal pension if you so desire.
Most importantly, you can start a self invested pension - and transfer other pensions into this. You'll be encouraged not to - but the rewards are immense. Pension companies want to you to leave money with them so they can charge you for the privilage and ultimately take out an annuity.... basically a bet on how long you'll live. Returns are guaranteed to be staggeringly low - and as an extra kick in the nuts they keep a large chunk of your money when you die.
IF you have the discipline not to spend your own money - then it is virtually impossible not to do far better investing your own money as you see fit close to retirement - you'll have a bigger pension AND more left over for any loved ones.
And even if you don't - you'll have a lot of fun spending it and enjoying your own money whilst you can - and not end up spending it on care. |
you do spout some bollox at times |  |
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| Pension Experts on 10:08 - Aug 17 with 1634 views | nodge_blue |
Share prices plummeted in Q1 2020 and have been recovering ever since. Depending where your money is invested, it could be that you hold technology shares for example, some sectors have done well - climbed higher than they were before the pandemic.
Its highly unlikely it will continue to grow that fast. A 5 to 10% return per year is a good, reasonably realistic return. |  |
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| Pension Experts on 15:22 - Aug 17 with 1391 views | factual_blue |
| Pension Experts on 08:47 - Aug 17 by ElephantintheRoom |
The still relatively recent legislation that gave people access to their pensions is a real life changer - good and potentially bad.
Most people chop and change employers - and have or had many small pension pots - by simply checking on how 'well' these are doing you can move them into a personal pension if you so desire.
Most importantly, you can start a self invested pension - and transfer other pensions into this. You'll be encouraged not to - but the rewards are immense. Pension companies want to you to leave money with them so they can charge you for the privilage and ultimately take out an annuity.... basically a bet on how long you'll live. Returns are guaranteed to be staggeringly low - and as an extra kick in the nuts they keep a large chunk of your money when you die.
IF you have the discipline not to spend your own money - then it is virtually impossible not to do far better investing your own money as you see fit close to retirement - you'll have a bigger pension AND more left over for any loved ones.
And even if you don't - you'll have a lot of fun spending it and enjoying your own money whilst you can - and not end up spending it on care. |
The deprivation of assets provisions around care home fees are very wide-ranging, so watch out. |  |
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| Pension Experts on 16:04 - Aug 17 with 1331 views | Durovigutum |
Since Jan 2020 my pension, in regional equities, shows :
UK +0.7%, EU 17%, US 23%, Asia Pacific 34%.
Commercial property, no movement.
Technology (multi-geography) +60%.
Technology is up over 300% from 2017, if I'd have put everything in this I could now retire - if I was old enough.... However in June 2015 it was the worst performing part of the basket. This is important - if you are more than five years or so from taking your pension tracking it more than annually is unhealthy.
I agree with the previous advice - become a mini pension expert. It isn't that hard - here's a decent starting place : https://www.thetimes.co.uk/money-mentor/guide/pensions-guide/#4
If |  | | |
| Pension Experts on 16:13 - Aug 17 with 1303 views | lowhouseblue |
| Pension Experts on 16:04 - Aug 17 by Durovigutum |
Since Jan 2020 my pension, in regional equities, shows :
UK +0.7%, EU 17%, US 23%, Asia Pacific 34%.
Commercial property, no movement.
Technology (multi-geography) +60%.
Technology is up over 300% from 2017, if I'd have put everything in this I could now retire - if I was old enough.... However in June 2015 it was the worst performing part of the basket. This is important - if you are more than five years or so from taking your pension tracking it more than annually is unhealthy.
I agree with the previous advice - become a mini pension expert. It isn't that hard - here's a decent starting place : https://www.thetimes.co.uk/money-mentor/guide/pensions-guide/#4
If |
"I agree with the previous advice - become a mini pension expert. It isn't that hard."
funnily enough the number of people who think they are good at investing rises and falls exactly in line with the stock market. |  |
| And so as the loose-bowelled pigeon of time swoops low over the unsuspecting tourist of destiny, and the flatulent skunk of fate wanders into the air-conditioning system of eternity, I notice it's the end of the show |
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| Pension Experts on 16:18 - Aug 17 with 1293 views | Nthsuffolkblue |
| Pension Experts on 16:04 - Aug 17 by Durovigutum |
Since Jan 2020 my pension, in regional equities, shows :
UK +0.7%, EU 17%, US 23%, Asia Pacific 34%.
Commercial property, no movement.
Technology (multi-geography) +60%.
Technology is up over 300% from 2017, if I'd have put everything in this I could now retire - if I was old enough.... However in June 2015 it was the worst performing part of the basket. This is important - if you are more than five years or so from taking your pension tracking it more than annually is unhealthy.
I agree with the previous advice - become a mini pension expert. It isn't that hard - here's a decent starting place : https://www.thetimes.co.uk/money-mentor/guide/pensions-guide/#4
If |
This feels like it should lead into a Rudyard Kipling poem. |  |
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| Pension Experts on 16:49 - Aug 17 with 1242 views | Durovigutum |
| Pension Experts on 16:13 - Aug 17 by lowhouseblue |
"I agree with the previous advice - become a mini pension expert. It isn't that hard."
funnily enough the number of people who think they are good at investing rises and falls exactly in line with the stock market. |
But the real experts just leave it alone!
I recently went back to my first pension contribution in 1999 and tracked forward to the latest statement a few weeks ago - 9% year on year growth. That includes the dot com bubble bursting, the 2008 financial crisis and now covid. Listen to these old people who bang on about compound interest! | | | |
| Pension Experts on 17:44 - Aug 17 with 1167 views | lowhouseblue |
| Pension Experts on 16:49 - Aug 17 by Durovigutum |
But the real experts just leave it alone!
I recently went back to my first pension contribution in 1999 and tracked forward to the latest statement a few weeks ago - 9% year on year growth. That includes the dot com bubble bursting, the 2008 financial crisis and now covid. Listen to these old people who bang on about compound interest! |
well that's almost exactly the annualised return on the S&P 500 since 2000. so the market has been a good place to be. compounding is fairly magical when the markets does that. | |
| And so as the loose-bowelled pigeon of time swoops low over the unsuspecting tourist of destiny, and the flatulent skunk of fate wanders into the air-conditioning system of eternity, I notice it's the end of the show |
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| Pension Experts on 20:43 - Aug 17 with 1062 views | jimmyvet |
| Pension Experts on 09:31 - Aug 17 by Keno |
you do spout some bollox at times |
Keno I read some garbage on here a lot of the time but his couple of posts on this thread just about take it …. Wot a load of billox! | | | |
| Pension Experts on 20:51 - Aug 17 with 1043 views | jimmyvet |
| Pension Experts on 16:04 - Aug 17 by Durovigutum |
Since Jan 2020 my pension, in regional equities, shows :
UK +0.7%, EU 17%, US 23%, Asia Pacific 34%.
Commercial property, no movement.
Technology (multi-geography) +60%.
Technology is up over 300% from 2017, if I'd have put everything in this I could now retire - if I was old enough.... However in June 2015 it was the worst performing part of the basket. This is important - if you are more than five years or so from taking your pension tracking it more than annually is unhealthy.
I agree with the previous advice - become a mini pension expert. It isn't that hard - here's a decent starting place : https://www.thetimes.co.uk/money-mentor/guide/pensions-guide/#4
If |
Yep same as a mechanic, electrical engineer, accountant, actuary not that hard becoming a pension expert only decades of study and experience or read a few articles in the press or speak to your mate down the pub and if all that fails speak to some blokes on the TWTD Forum the real experts in pension planning!! | | | |
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