A regular saver who reduces the charges in his retirement account from 2.5% of assets each year to 0.5% of assets would receive a benefit 60% greater at retirement after 40 years.— National Treasury
Ingram spoke about fees and investment costs.
He touched on what to consider before you decide to invest.
Ingram also gave advice on what information you should get from your fund manager in order to determine if the investments you do have are any good.
Some other aspects of the discussion:
Investors are often disappointed with the growth of an old retirement annuity (RA) or endowment when it matures. It may be that the asset allocation (shares, property, bonds, cash, etc.) is unsuitable (e.g. a very low risk fund is inappropriate if your investment has, for example, 20 years to run).
Consider the fees. (E.g. do you buy an RA from an insurance company and it then invests in a unit trust provided by another company? Fees are layered in this instance. Why not go directly to the unit trust manager for an RA?)
- Understanding upfront fees, exit fees, policy fees and annual advice fees.
For more detail; listen to the interview in the audio below.
Enter your email address in the form below to receive a newsletter containing the most-read articles of the week from Bruce Whitfield’s The Money Show every Friday morning in your inbox.
Recommendedby THE NEWSROOM
Personal Financial Advisor Warren Ingram advises a listener who inherited some money, and wants to work well with it.
But can they be trusted? Are they independent? Bruce Whitfield interviews Personal Financial Advisor Warren Ingram.
Bruce Whitfield interviews Personal Financial Advisor Warren Ingram. He also read a question sent by Nick, a regular listener.
Naspers constitutes a whopping 20% of the Top 40 index. Bruce Whitfield interviews Personal Financial Advisor Warren Ingram.
The savings industry will soon find it impossible to rely on complexity to hide the real extent of the fees it charges.
Fees matter. A lot. And you don’t get much lower than that of Magda Wierzycka’s Sygnia. Here’s how they do it…
Social media reacts with love and hope to President Ramaphosa's maiden State Of the Nation Address.
Afternoon Drive’s Stephen Grootes interviews Senior Research Associate at the Institute for Security Studies Judith February.
Speaker of Parliament Baleka Mbete shares her views on the future of Parliament and the readiness for Sona 2018
The Hawks are in possession of video footage showing Gupta, wanted in connection with Vrede dairy farm scandal, leaving SA.
Cyril Ramaphosa's ex-wife says abuse allegations spread by EFF leader Julius Malema are an attempt to tarnish his reputation.