Fall in transfer values during November
11 December 2018
Pension transfer values fluctuated during November 2018, with an overall fall during the month, according to the XPS Pensions Group Transfer Value Index.
The index was £235,000 at the end of October and £230,000 at the end of November.
The difference between maximum and minimum readings of the XPS Pensions Group Transfer Value Index over November 2018 was £5,400 (or around 2.3%).
The decrease in transfer values over November 2018, Sankar Mahalingham, head of DB Growth, XPS Pensions Group attributes to a rise in gilt yields of around a quarter of a percent, partially offset by a small increase in inflation over the month.
“Volatility was a little lower than recent months despite heightened uncertainty around the process for Britain leaving the European Union,” he said.
The XPS Pensions Group Transfer Value Index tracks the transfer value that would be provided by an example DB scheme to a member aged 64 who is currently entitled to a pension of £10,000 each year starting at age 65 (increasing each year in line with inflation). Different schemes calculate transfer values in different ways. A given individual may therefore receive a transfer value from their scheme that is significantly different from that quoted by the XPS Pensions Group Transfer Value Index.
Following on from the success of our 2018 series of seminars where over 600 paraplanners attended across 11 events,...
At our Bristol Technical Insight Seminar, Rebecca Tuck, paraplanner with Magenta Financial Planning, presented on suitability reports, sharing some...
In Paraplanner Pointers we highlight tips from your paraplanning peers and others that you can use in your working...