A cross border pension

This client is towards the end of his second successful career. After an academic career in the UK, he had moved to Australia, and has had a very successful life there.

So along came the time to plan for retirement. The Financial Planner concerned noticed that there was an old UK pension scheme, so they wrote off to check it out.

To everyone’s slight surprise, the transfer value was well over £500 000. Whilst less than 10% of their overall net worth, this is still a considerable asset, in a pension scheme with well-publicised issues and concerns.


So the Planner contacted us to have this scheme reviewed. Which we did, on a flat fee, non-contingent advice basis.

The outcome showed that, unusually, this transfer was viable and fitted in with the client’s other concerns and financial planning objectives. The numbers added up and the client was comfortable with the risks involved. It also became clear that a transfer to an Australian ‘QROP’ or Superannuation Scheme was not an option in this particular case.

So we worked with the local planner, and agreed on an asset allocation to fit the client’s needs. Fortunately, they have a similar evidence based, low cost investment philosophy as we have, so the client could see the synergy between the firms.

So the Australian Planner is the ‘lead’ Adviser, with us looking after the UK assets, the pension fund. The money will stay in the UK for now. After all, who knows where these clients could settle? They world is a small place, and they have the resources they need to settle almost anywhere.