Legal & General Share Discussion Threads

[mcunliffe1] 11/1/2024 13:36

markt: well said. PB's are a favorite of mine and I was lucky to win £725 this month. I do have the full £50k invested. It's worth stating here that NS&I are reducing their payout rate in the March draw though.

I have used the £2880 gets £720 ploy in the past when with Std. Life. Haven't reinstated that since moving to ii.

The 74.5 year bit was a Inheritance Tax issue that I thought still existed but Williamcooper has thankfully corrected my incorrect view.

I'd like to think I will be active enough at 75 to still be spending the blighter's inheritance in foreign (warm) climes.

[williamcooper104] 11/1/2024 13:30

Yep plus life insurance if you're in reasonable health is good valueRather than go to the hassle and expense of setting up a structure to minimise IHT I just bought a load of insurance for likely less than the legal fees I'd have paid

[marktime1231] 11/1/2024 13:18

Reviewing SIPP providers yesterday I noted II subcontract their administration to Barnett Waddingham and have done since 2017, so customer service can be a two stage process before you get to speak to someone who might be able to resolve your issue. Might that change, are abrdn in the SIPP administration business? On the other hand AJBell do their own administration and provide services to other platforms eg Halifax Dealing Service and they used to do Toronto Dominion before that was acquired by II. I assume HL do SIPP administration themselves, not sure about Fidelity or Barclays or ... who have I left out?

If you want to maximise tax free income in retirement it makes sense to have a combination of SIPP (at least until State Pension) and ISA and PBs etc. And max your capital gains allowances and savings interest allowances, from unsheltered investments. Downsize or release equity from your property (when interest rates have calmed down) on a little-as-possible late-as-possible basis to release tax free capital and help avoid IHT, so long as you can deploy the proceeds with purpose and without creating a subsequent tax burden.

And it will always make sense to cycle the no-questions-asked £2,880 contribution through your SIPP for the free £720 which the government insist on handing out each year.

I wonder though why you would wait until you are 74 and a half before crystallising the tax free lump sum from your pension. At that age you will be lucky to be alive in good health and in a position to spend and fully enjoy the proceeds.

[williamcooper104] 11/1/2024 13:08

Pensions worked for me when I was employed as employer matched contributions and then when running own business was more tax and cashflow efficient than taking money out to put into ISAs Not sure about my 25 percent, might use it to pay down mortgage but then quite like the tax free accumulation within a pension - good to have the liquidity/choice though I do like leaving a pension to the kids as opposed to more blowable cash

[pierre oreilly] 11/1/2024 13:01

Just tbc, the diy isa thing was certainly sensible imv 30 years ago, but I have no idea whether it's sensible, or even possible, today. Things change.

[mcunliffe1] 11/1/2024 12:50

William: thankyou for that response. I know you are very clued-up on pension issues. I'd prefer to retain that 25% inside the SIPP as it becomes an emergency fund should I or the wife need it. So, good news on the IHT.

Pierre: afternoon. Pep's Tessa's Follow-on Tessa's and then ISA's. I know you are a big believer in that route compared to the pension route.

I share one aspect in common with you insofar as I also hated paying fees. But, with a classic pension at the Std. Life such was unavoidable. And, to be fair, my dad flogged me all my endowments and pensions whilst he worked for them for many years.

Now at ii the £12.99 a month platform fee is more than offset with the interest I earn on the cash held in the SIPP. I need to look at adding a S&S ISA to that SIPP.

[pierre oreilly] 11/1/2024 12:38

Roger, yep, you have yo give up tax benefits at the time. It didn't take me long to work out that those tax benefits at the time are far exceeded by tax benefits years later, as in isas, plus the charges not paid. Hence why I took a gulp, paid some pretty hefty tax bills at the time, avoided all pensions, and did my own thing, investing via Isas. The risk at the time was isas (peps plus whatever else they've been called) being chopped. I've put the max in every year since year 1, mainly transfering existing shares into them (i.r. selling outside, cash in ISA, buy back inside.) for the first many years. Last year got rid of my last 20k in nat grid outside the ISA and into it. Worked great for me, I bought a gilt in the ISA giving me the income to live off (me,wife 3 young kids) so retired early. My tax free income just goes up and up these days. It really worked for me, but I had no employer to contribute. I doubt that would have altered my thinking even if I did. Anyone who does refuse the incentives to take a pension should expect everyone to tell you how stupid you are, including accountants.

[williamcooper104] 11/1/2024 12:36

I think they've done away with the IHT exemption for pre 75 deaths Your beneficiaries only get taxed when they take money out of the pension, so it's similar to the tax treatment you would have received, thus I find it less annoying than double tax IHT Labour have mentioned restricting the overall pension cap on contributions but not as far as I am aware on the 25% tax free

[mcunliffe1] 11/1/2024 12:30

Ron: your last comment is worrying. My plan is to take the 25% tax free element just before I'm 75 as beyond that age there's a tax liability for inheritors that doesn't exist prior to 75 were I to die young.

I do draw-down each year the max amount wothout paying tax and that has served me well for five years. Bit difficult now with my state pension bringing me ever closer to the £12,570 allowance point although my wife's transferred £1,260 addition helps this final year before she gets the state pension.

I'll look at the foreign investment aspect - good pointer.

This is why I like these threads. A combination of sage advice from a wide variety of people, some humour and self control over one's own pension with low costs to boot is a winning combination.

[rongetsrich] 11/1/2024 12:19

Same as Mcunliffe, I was Salary Sacrifice into Standard Life but went to II. Excellent platform and has a great research area to give you the knowledge to invest. I have plenty of LGEN, Aviva and MNG shares in it and now, with a Labour government I'm looking at foreign investments through a fund or two.Google II Super 60 and see the funds they are hot on.Trust Pilot is probably not the place to snapshot on pensions, but that's not my business.As for doing it in an ISA, that's not totally stupid, but you would be giving up the tax benefits. My plan is to take my 25% tax free from my SIPP and use it to fill our ISAs, totally allowed and legal at the moment. I have read that Labour may stop that perk as well, so ......

[netcurtains] 11/1/2024 10:03

re: pension
although I have big wad of L&G I also like to be well out of UK so have trackers for Japan, Philippines, Mexico, and Germany....
So far so good.. Touchwood..
My ISA's are my pensions.

[mcunliffe1] 11/1/2024 10:01

mike24: If you explain what you mean by 'sorted' in respect of your pension you may well get some advice on this thread or the PHNX and ABDN threads.

I moved my pension from Standard Life to Interactive Investor in March 2023. Best move I've made. There may have been better options however and somebody else may have experience of such.

Try us.

[yump] 11/1/2024 09:53

O/T trustpilot etc
Where is the education of our school children in the hazards of trying to find truths using Google and social media ?

Ours are now 20 ish years old and think they know stuff, when its either just wrong or a complete fabrication.

One of them pumped their car tyres up to 50psi because their social circle said to use the number shown on the tyre - which is “max pressure”. I Only found out by accident.

Scary.

[yump] 11/1/2024 09:50

Sorry duplicate

[jubberjim] 11/1/2024 08:24

Got paid 253.25 for a few bought back phnx to compensate

[rongetsrich] 11/1/2024 08:19

Are you making a pension choice using Trust Pilot as a reference?Perhaps invest in a few magazines and read back, perhaps a few £100 with an advisor... but Trust Pilot???

[mike24] 10/1/2024 23:17

looking to get a pension sorted,
the BLT market has been trashed est, 3/4yrs to hit the floor
dyor

[jubberjim] 09/1/2024 18:29

I am still very wary of Deutche Bank analysts so will be watching carefully.

[cwa1] 09/1/2024 18:22

Deutsche say:- "there is plenty more to go"

[fionascott1234] 09/1/2024 17:27

A Berenberg upgrade and strong buys against sells = ZERO

[speedsgh] 09/1/2024 16:32

Berenberg upgrades L&G on ‘strong buying signals’

Berenberg has upgraded Legal & General (LGEN) as the macro outlook starts to look supportive of the insurer.

Analyst Thomas Bateman upgraded his recommendation from ‘hold’ to ‘buy’ and increased the target price from 258p to 289p on the Citywire Elite Companies A-rated stock, which was trading at 249p on Monday.

‘At the start of 2023, the macroeconomic environment was not supportive for L&G,’ Bateman said. ‘But now, as we head into 2024, we envisage a very different scenario – this time, the macroeconomic outlook in our view is likely to support the L&G share price, as well as the share performance for the wider UK life insurance sector.’

Bateman said that concerns about credit risk and real estate valuations ‘are subsiding’ and the benefits of higher interest rates for the insurer ‘such as strong annuity volumes, are here to stay’.

‘We expect strong annuity volumes to drive a step-up in capital generation,’ he said.

Bateman added that the dividend yield and UK corporate bond spreads ‘indicate strong buying signals’.

[cwa1] 09/1/2024 10:15

Deutsche Bank raises Legal & General price target to 305 (295) pence - 'buy'

[tornado12] 08/1/2024 19:05

Looks like this is heading 260-270p range before the results as long as no spanner’s from inflation/war beforehand GLA

[wish i wasnt in rbs] 08/1/2024 18:46

Go to dividendmax.com - it has declarations, xd and payment dates

[jubberjim] 08/1/2024 18:20

Have noted and deleted previous .