Unitised with-profits help
BhanuVekria
Member
It;s been some time since I researched a with-profits and would appreciate any help.
Would someone be kind enough to share their list of questions for with-profits pensions please.
Also I have a client that has a plan with Scottish Widows where any contributions prior to 1 July 1994 (plan started 1989) benefit's from a guaranteed 4% per annum, however the bonuses declared prior to 1989 were above and beyond 4%. Is there any way the guaranteed can come into effect?
Many thanks in advance.
Comments
With regard to the guarantee, it sounds like the guaranteed bonus rate comes into play where the declared bonus is less than 4%. Also, check if this is gross or net of charges, as you may find the net guarantee is more like 2.5%-3%..
Otherwise, you need to cover off things like:
FV and SV and if there is a difference, what it represents (MVR, Terminal Bonus, Early Exit penalty, something else...).
Asset Mix, to assess the likelihood of bonus rates improving in future
Historic bonus rates to identify any trends.