01704 504383 Monday to Friday 9.00am to 5.00pm info@pwssp.co.uk

Full-Service

Proposition

Full-Service Proposition Costs & Charges Explained

Example

In the example below a client has agreed to transfer an existing pension policy valued at £100,000.000 to a new plan with a full-service proposition in July 2020.

Below are the initial and on-going service costs. The tables under the heading Aggregated costs and charges as at 01/07/2020 detail the full cost of the advice, on-going service, platform charges, fund charges and transactional charges of the underlying funds in the first year of investment.

A Risk Level 4 (Moderate) Portfolio has been used to determine the fund costs with an annual growth assumption of 4.90%.

Initial Fee

£900.00 fee for initial planning and implementation.

On-Going Fee

1.00% annual fee which is taken monthly in arrears from your plan (0.833% per month based on the value of your investment).

Reviews and Updates

Annual review and meeting with your Financial Adviser to discuss your plan, your current circumstances and risk levels.

Regular updates and investment portfolio fund rebalancing if market sentiment changes.

Aggregated costs and charges as at 1/7/2020

We want you to understand the various costs and charges that are associated with our services and recommended solutions, along with the effect that these may have on what your plans return to you. In the table below we have provided some information on all costs and charges that could apply over the next twelve months. We have also included an indication on the overall effect of these costs and charges on returns over this period.

INITIAL INVESTMENT/TRANSFER

£100,000.00

Total Costs & Charges in Year 1

£2,723.00

2.72%

The table below details the charges applying:

Breaks down individual cost charges in monetary and percentage terms.
COSTS & CHARGES

COST (£)

RATE (%)

Initial Adviser Charge

£900.00

0.90%

On-going Adviser Charge

£991.00

0.99%

On-going Platform Charge

£347.00

0.35%

On-going costs of the underlying funds within a plan(s)

£426.00

0.39%

On-going transaction costs of the underlying funds

£59.00

0.06%

The table below shows the cumulative effect of costs on return:

Assumed growth rate before charges of 4.90% per annum.
ASSUMPTIONS
What you might get back if there were no charges at all
What you might get back after charges
Difference

1 YEAR

£104,900.00

£102,177

-£2,723.00

5 YEARS

£127,022.00

£115,343.00

-£11,679.00

4 + 7 =