More Selectapension issues...

Does anyone else have experience of Selectapension not taking into account a wrapper charge when producing RIY figures for comparison?

Their RIY figures for Transact don't match the one calculated in a matching Transact illustration because Selectapension tell me they ignore the £20 per quarter wrapper fee.

Does this mean I can't trust any RIY results because the actual charges aren't fully included? Or have I just identified an error in the Selectapension calcs for a Transact Personal Pension?

(I called them, we spoke at length, and I was advised to "know the software limitations" and manually do my own calcs anyway)!

Seems a bit backwards to have a tool that compares all charges from all providers that...well...doesn't!

What am I missing here? Any tips welcome!

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Comments

  • Hi Jo

    These kind of things happen in software. What is the actual bps difference comparing your manual calcs? How does that translate to pounds and pence based on the client's asset value?

    You know this limitation now. Unless the difference is huge I'd stick a note in the due diligence file and not worry much more about it. I always try to do a two column charges comparison away from any software anyway. happy to share the current method that I use with you if you like. 

    Ben
  • This is a very small pension account so the quarterly charge makes a large difference. Selectapension say 0.6% (£51) actual figure is 1.4% (£119).

    It's ok when you know the charging structures of other providers by heart and you can recognise a difference, but what about a whole of market comparison based on charges? The results are wrong.

    I know that I get unreasonably cross about these things, but we shouldn't have to "know" where a piece of software is rubbish and do it ourselves - especially where it's not that difficult to do properly!

    Good luck for your results today!

  • Don't think there is anything unreasonable about getting cross with a software provider that firms pay good money to to do a specific task! I totally get we need to cross check the outputs from them, but we should be able to rely on them to some degree otherwise what is the point in using them? It just becomes a back covering exercise.

    The main reason we ditched Selectapension was to do with Transact results almost always being incorrect - and Transact is our main platform for retirement/ drawdown clients.
  • Hi Jo

    I don't think you are getting unreasonably cross. It's entirely reasonable. I've just given up getting annoyed by these things and I just accept that every piece of software is going to have 'issues' that you will or won't know about. 

    Thanks about exams, I passed

    richallum

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