cheshiremaserati
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The actuarial data shows that few people survive to consume their pension pot to depletion level zero. That means the pension fund retains your unused pot and even aftre paying out for a 50% spouse pension, there is still money left in the pot after the second death.
The message therefore would be to consider taking your 25% sum tax free in favour of reduced pension today and invest that cash wisely with equities for capital growth (as equities have hit a real ,low point which is always the best point to buy them), some investment grade fixed term bonds, gilts (underwritten by Government) and a spread of cash holdings to create a diversified portfolio. Consider the use of a discretionary wealth management service (though check the fees (typically annually around 1.5% - 2.25% of funds) that will manage the stocks and pickings on a discretionary basis - either as shares purchased for you such as offered by DeVere Chase or as collective investment unit trusts. The data shows that markets WILL recover over the long-medium term (at least a 5 year horizon, preferably a 10 year horizon). Sadly too many people bail out of shares at stock markets fall and buy when the stock markets are high and rising very rapidly (just ripe for levelling off for a dramatic fall). Don't invest in equities if you need the cash in the 5 year period (and I'm not talking about penny shares or buying 250,000 shares today at £10 and selling in the 48 hours at £10.50 (bed and breakfast).
Use up your ISA allowance by putting the shares into a S&S ISA wrapper so that returns and cash are free from CGT and Income Tax. Your discretionary wealth manager can do this for you. Initially you ill take a hit from charges for investment. But the markets will pick up - history bears it out.
The message therefore would be to consider taking your 25% sum tax free in favour of reduced pension today and invest that cash wisely with equities for capital growth (as equities have hit a real ,low point which is always the best point to buy them), some investment grade fixed term bonds, gilts (underwritten by Government) and a spread of cash holdings to create a diversified portfolio. Consider the use of a discretionary wealth management service (though check the fees (typically annually around 1.5% - 2.25% of funds) that will manage the stocks and pickings on a discretionary basis - either as shares purchased for you such as offered by DeVere Chase or as collective investment unit trusts. The data shows that markets WILL recover over the long-medium term (at least a 5 year horizon, preferably a 10 year horizon). Sadly too many people bail out of shares at stock markets fall and buy when the stock markets are high and rising very rapidly (just ripe for levelling off for a dramatic fall). Don't invest in equities if you need the cash in the 5 year period (and I'm not talking about penny shares or buying 250,000 shares today at £10 and selling in the 48 hours at £10.50 (bed and breakfast).
Use up your ISA allowance by putting the shares into a S&S ISA wrapper so that returns and cash are free from CGT and Income Tax. Your discretionary wealth manager can do this for you. Initially you ill take a hit from charges for investment. But the markets will pick up - history bears it out.