Update: Know they pension plan

Some time ago, I posted about having adequate knowledge of where investment managers put your money to work. As an update, I managed to get a cash flow plan of the scheme. Imagine my shock when I present valued the 'capital' and the 'fees' (Present valuing means discounting all future cash outgoes to present terms to know what it would mean if everything were to be evaluated on todays terms). The fees were a crazy 18%!!! ... which means that if I invested all monies today, 18% would go to this institution as fees for managing the capital. To give you an idea as to why that is crazy, mutual funds take around 1% (0.5% when one buys and 0.5% when one sells), alternative asset managers take close to 1.5% - 3% to manage wealth. The next time you are sold a plan, inquire about the fees