Additional RA addvice

[zerocool2009]

Changing jobs, and my new employer gives employees the chance to take a RA out via (Momentum).

I am already rolling eyes!

My question, do I start a new RA, or leave it, and just pump more into my Sygnia/Allan Gray RA’s?

I know the rule regarding life insurance firms and savings (a big no-no)

 

[paul5186]

I would only take it if they contribute, otherwise no thanks...

 

[zerocool2009]

I think I wont top-up this RA, look at the EAC (I have never seen something like this before) !

 

[now05ster]

I think I wont top-up this RA, look at the EAC (I have never seen something like this before) !

Sorry, for this noob, what is wrong with this EAC?

 

[zerocool2009]

Sorry, for this noob, what is wrong with this EAC?

Its the cost for having the product. Other firms charges 0.50% or up to max 2.5% or 3%. This is 7%

Its funny actually ! I wont contribute 1c as a top-up. Its a ripoff

 

[Pegging]

I think I wont top-up this RA, look at the EAC (I have never seen something like this before) !

Where did you get that?

P.S. There is no 'e' in Allan Gray.

 

[zerocool2009]

That is a quote from Momentum (as my new company wants to push employees top upping up RA's)

Thanks for the fix (Wink) -> E to A

 

[Cius]

I am have a very dim view of RA's. I have a pension via work that has done great. My RA with PPS has barely grown at all. We just cancelled a small RA my wife had that we have contributed to for years and the value of it is less than the total of all our contributions. Its insane. Costs on most RA's just seem insane. A proper pension plan is somehow different to the same product packaged as an RA just due to fee structure. Would be curious to know of these 10X and other lower cost options can compete with like a big bank pension scheme in terms of growth and fees.

 

[zerocool2009]

I know my Sygnia RA EAC is 0.54%

Well, will take what the firm gives me (and enrich the others)