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Estate Capital has adopted the Pension Transfer Gold Standard

  • Monday, July 15, 2019

Pension Transfer Gold Standard Logo

Estate Capital has adopted the Chartered Insurance Institute (CII) and Personal Finance Society (PFS) Pension Transfer Gold Status. This new status is based around nine principles designed to deliver advice in the area of pension transfers that adheres to high professional standards.

What is the Pension Transfer Gold Standard?

  • The Pension Gold Standard is a voluntary code of good practice for safeguarded and defined benefit pension transfer advice, based around a set of principles.
  • It has been established by The Pensions Advice Taskforce; a representative industry body set up by the Personal Finance Society.
  • They have set out that clients dealing with firms who have adopted this process;
    ‘Can be confident they are dealing with an ethical adviser and professional advice firm that has the client’s best interests at heart when giving financial advice in relation to whether or not they should transfer.’

What can you expect if dealing with a firm that has adopted The Gold Standard?

  • They will ‘exceed’ the core principles when advising on complex pension advice.
  • Help you understand the implications of a transfer so you can decide whether taking advice is appropriate, before you take it and incur costs in doing so.
  • Ensure the advice supports overall well being in the context of your stated objectives, needs and wants.
  • Use appropriately qualified technical skills to advise on whether to transfer, and what to transfer into in order that you have the best chance of meeting your objectives.
  • Only recommend mainstream investments from regulated investment companies.
  • Be fully transparent and take necessary steps to ensure that you understand all the costs involved.
  • Draw your attention to any conflicts of interest in giving pension transfer advice and how these are managed in your best interests.
  • Share with you their experience and the outcomes of advising people on transfers.

Do you need to take financial advice when considering whether to transfer your pension?

Pension transfers can be complicated and there are lots of things to think about before going ahead. Seeking professional financial advice will help to ensure you are better able to make a fully informed decision that is in your best interest.

It is for that reason that the Government has made it a legal requirement to seek financial advice before you can transfer, if you have what’s called ‘safeguarded benefits’ – in particular if you are in a defined benefit pension scheme or have a guaranteed annuity rate and your benefits are worth £30,000 or more.

This rule is there for your protection to make sure you are aware of all the pros and cons of transferring. The Pension Transfer Gold Standard is designed to help you recognise and find firms that will give advice that adheres to high professional standards.

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Phil Johnson

Phil Johnson

Independent Financial Adviser

Phil is an independent financial adviser and leads the pension’s team.