Legal & General vs Aviva for pension consolidation

[atlas2023]

38 y.o., I currently have five private pension pots from previous employments, all with different providers, that I'm planning to consolidate (note, this is excluding my current employer's scheme, which I'm leaving as-is). I've never previously looked into my pensions much, nor how they are invested, so trying to educate myself on this now.

My smallest pot is with L&G in a mastertrust. I had looked into transferring this one out, but after requesting it, had a message through letting me know that this pension has a protected retirement age of 55.

Another pot of mine is with Aviva, which I also believe, according to this page, should also have a protected age of 55: https://www.aviva.co.uk/retirement/pension-basics/changes-to-pension-age/

The age protection is really appealing, so assuming it's possible to do so (which I'm trying to get confirmation of), I want to consolidate my pensions together into one of these two. So what I'm looking for is general thoughts on which seems a better choice:

L&G

- 0.22% management fees

- Choice of 43 L&G funds

Aviva

- 0.4% management fees

- Choice of 224 Aviva funds

Is it simply a case of opting for L&G, as it has the lower management fees? Or does the larger range of funds available through Aviva, or any other factors, outweigh this? Once I have done the consolidation will look into moving from the default funds which each currently uses.

 

[shadow2]

@atlas2023 Hopefully others with more experience of this scenario will chip in, but ask questions to both L&G and Aviva if the transferred in balance also attracts the protected pension age, or if it's only the current contributions that keep the protection. No point moving money across into either of them if they don't attract that benefit - you'd simply combine the other 3 pots in whatever the cheapest one is (or a completely separate SIPP) and leave the two protected pots to simmer until 55.

 

[atlas2023]

@shadow2 Thanks - yes I will contact them both to confirm whether this is the case.

 

[alexm961]

@atlas2023 The phrase you're looking for is "Block Transfer" - https://www.gov.uk/hmrc-internal-manuals/pensions-tax-manual/ptm062240

If those pension will allow you to transfer in, then go for it.

As for the fund, it depends what you want. On the assumption that the L&G funds aren't only "Enron Consolidated" and "Bernie Madoff Special" then there'll probably be something suitable there.

Similarly, wide choice of funds doesn't imply a wide choice of good funds.

Do also check whether each fund has its own management fee as well.

 

[reneewly]

@atlas2023 Hey did you manage to find out which one was the best? I am looking to do the same

 

[atlas2023]

@reneewly I opted for L&G in the end. The funds available in L&G were essentially equivalent to what I would use in Aviva (there are other threads on this sub which discuss them), so I went with L&G essentially as the fees were lower.

I confirmed I was able to transfer in other pensions and keep the age protection across the whole pot. So I have done that, 2 of 3 have transferred so far and the process has been smooth.