heapsy wrote:I'm thinking of opening a SIPP and transferring two pensions into it.
A few questions spring to mind that you might want to consider:
What type of pensions are they?
Do they have any advantages to staying where they are? Like being a DB scheme or DC with a guaranteed annuity rate, or high exit fees(with profits fund)?
How do the charges and investment choices compare?
What's the ultimate aim for the money? Annuity, drawdowm, etc and at what age? And is having one pot better than two in your scenario?
My question, for those who may have done this, is this: when the funds were transferred, how did you invest the cash? I'm assuming you drip fed a lump sum each month into your chosen funds, along side your regular contributions? Any advice appreciated.
I would assume the funds in these two pensions have already been drip fed if they're DC, so perhaps doing the same again isn't necessarily needed? It would depend on how much money you're taking about and how many different funds you invest in.
You'll be out of the market while you're in cash, which could be a good or bad thing depending on how stocks perform during that time.
Drip feeding with new money is generally the way to go, but again market conditions may dictate otherwise.