Retirement Annuities

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Maverick154

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Hi Everyone.

I would like to know what Retirement Annuities you guys use and which ones you think are the best ones out there? Secondly, do any of you use a broker to manage your investments or do you do it yourself?

Thanks
 
Coronation RA (for my managed RA) and will open a Sygnia RA (for my index RA) as soon as I have spare money available for it.

Manage own investments (in RAs and outside RAs), own asset allocation in RAs with rebalancing once a year. No balanced funds or index-with-fixed-allocation (because none of them suit how I want to allocate the asset sclasses)
 
if you would like me to get somebody to call you and discuss this and other stuff send me a PM, a friend of mine has a Financial institution for investments and insurance and medical aids etc
. they can explain to you everything you need to know
 
Do yourself a favour and open an account with Allan gray. Dont go through a broker and invest in some balanced funds (Allan gray, foord or coronation). This will save you on all the bloated fees the advisors will charge for doing the same thing.
 
I am on one with Sanlam and after contributing a substantial amount a month for more than 25 years I get peanuts. A total rip off. The shareholders and company skims off the cream and we get the waste. I am a pensioner. Be careful how you invest your well earned money!
 
There are effectively two options. Life company RAs and unit trust RAs. The latter may be preferable as you pay as and when you can and are not hit with penalties if you cannot suddenly pay for some reason. This has been slightly negated with some life companies dramatically reducing penalty terms and percentages.

They are all dictated to by pretty much the same rules (ie access prior to 55 etc). Look at costs when deciding. A broker is your best option, not a tied agent, as they will have access to an array of products and can do the comparisons for you.

No need to do it yourself as even if you phone a call centre you are not going to get it any cheaper.
 
JohannesPaulsen said:
I am on one with Sanlam and after contributing a substantial amount a month for more than 25 years I get peanuts. A total rip off. The shareholders and company skims off the cream and we get the waste. I am a pensioner. Be careful how you invest your well earned money!
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Johannes, I hear this argument often. It rarely is the fault of the RA vehicle itself but the investment portfolio choices. The RA is just the vehicle chosen to invest in (due to preferential tax rates within the fund and tax deductibility), the portfolios chosen will dictate your returns.

As mentioned above it is important to compare costs though.
 
Investec RA, Financial Advisor manages the account (his small commission is linked to the performance), must say I'm very happy with the growth so far. PM me if you want contact details.
 
Get a broker that charges by the hour if you must, someone selling on a commission basis will always sell you the product where they make the best fees. I got rid of all my Financial "advisors", best decision I ever made, In 3 years I have doubled what I had. I mainly invest with Coronation funds (via PSG Online platform).
 
Never ever give Sanlam any of your money. Thanks me is 40 years' time
 
Gazza said:
Do yourself a favour and open an account with Allan gray. Dont go through a broker and invest in some balanced funds (Allan gray, foord or coronation). This will save you on all the bloated fees the advisors will charge for doing the same thing.
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Can I invest in all three of those funds at the same time? And by an account do you mean get an RA through them?
 
Maverick154 said:
Can I invest in all three of those funds at the same time? And by an account do you mean get an RA through them?
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Yes you can have investments with all those at the same time.

I have a RA with Coronation, but also other unit trusts, so my online account with them shows the RA and the unit trusts.
 
Choose the top 5 trusts at the top 5 companies.
Set up regular deposits into each.
No costs involved to a 3rd party who only has his own interest in mind.
 
Is there anyone else that has experience with Sanlam or PPS RA's? I think the precise code for them is R19C? Just want to know how they compare to others as well as what your returns on them are in general?
 
The_MAC said:
Investec RA, Financial Advisor manages the account (his small commission is linked to the performance), must say I'm very happy with the growth so far. PM me if you want contact details.
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Doesn't it require 1 mil investment though? If not please PM me the name of the product...Investec would be ideal to minimize paperwork.
 
supersunbird said:
Coronation RA (for my managed RA) and will open a Sygnia RA (for my index RA) as soon as I have spare money available for it.

Manage own investments (in RAs and outside RAs), own asset allocation in RAs with rebalancing once a year. No balanced funds or index-with-fixed-allocation (because none of them suit how I want to allocate the asset sclasses)
Click to expand...

Good advice.
Sygnia's RA is the cheapest on the market at the moment at 0.4% per year all in if you go direct and use the balanced index portfolio. You can expect this fund to outperform more than 90% of actively managed balanced portfolios over a 20 year investment period. 10% will outperform it though, and in a few cases the outperformance will be spectacular. There is however no reliable way to identify these funds in advance, so you are very likely to choose one of the 90% laggards.
 
Dubes said:
No need to do it yourself as even if you phone a call centre you are not going to get it any cheaper.
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Nonsense. With, Sygnia, Allan Gray, Coronation you can cut out the advice fees by going direct. It results in a massive saving over time- cutting out the useless adviser's fees can result in more than a 20% increase in your retirement pot.
These co's also don't charge platform and product fees, which could increase your retirement pot by another 10-15%.
Their fund management fees are also cheaper (especially Sygnia's) than Sanlam, Stanlib, Old Mutual, Momentum, Discovery, Investec etc.

Expect to enjoy a 40% richer retirement if you go the direct route using balanced funds than if you use the brokers flogging the insurance company products just because of the cost savings on advice, admin, product, platform and management fees.
 
All of you guys saying switch to "direct" options did you actually bail out your "old" RA options and take the knock?

Or did you just start new funds with Allan Gray etc?

Reason I ask is that I've got my pension fund from my previous employer sitting with Alexander Forbes under an Umbrella fund and I'm wondering if it's worth it bothering to move it over to Allan Gray.

Alexander Forbes are pissing me off with their management AND advice fees and the fact that recently they've assigned a fresh out of varsity girl to my account who has the business manners of a five year old.
 
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