Just checking pension stuff

I know I keep banging on about it, but I want to make sure I get this right! I want to enjoy my retirement, I don’t want to have to choose between eating and heating. I watched a programme on TV the other night about elderly people who didn’t eat for days so they could afford to keep the heating on – it was heartbreaking.

Anyway, the Hargreaves Lansdown website (http://www.h-l.co.uk) actually has quite a good charting tool. It’s not that easy to find, but you can actually graph different funds against each other and compare their relative performance (I had to get to it via my portfolio by removing the equity it had plotted and then adding in the pension funds).

So graphing the Barclays Life funds alone that my pension is invested in (Managed and Equity) the performance over the last 5 years looks pretty good:

But when you start adding some of the Scottish Equitable funds the IFA is recommending into the mix things start to look a bit different (Barclays is blue and red, the others are Scottish Equitable):

Checking some of the other funds Barclays offer, none of them are offering any performance close to Scottish Equitable, with the exception of a far eastern fund which comes close but doesn’t beat it, and even then you wouldn’t want 100% of your pension invested in it, so the rest of your portfolio is immediately at a disadvantage.

I know they say past performance is not a guide to the future, but as the Barclays funds are clearly being outperformed, I think I would be foolish not to switch. Time to ring my IFA I think and get the wheels in motion! 🙂

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