Are you an ostrich?

By Simon Yates

Millions of people in the UK are heading towards an impoverished retirement because they are burying their heads in the sand.  Are you one of them?

Some pensions are in a mess.  This was the sentiment expressed in the ITV Tonight programme "Your money... your life" on Monday 21^st September.

The title of the programme caught our attention because it is so similar to our motto ‘YOUR LIFE - YOUR MONEY.'

After watching the programme, my view is that people need ongoing advice.  It is not enough to set something up and assume everything will be alright.  To enable you to reach your income targets in retirement (and many other lifestyle goals) you should monitor and review your plans annually to ensure they remain on track.  Don't leave your retirement income to chance.

The challenge is working out who you can trust and getting that decision wrong may be costly.  Many pension "experts" are really just product salesmen, paid for selling you a pension.  This isn't necessarily a problem, so long as you understand the agenda of the person you're dealing with...but many people don't.

At Yates & Co, we have expert financial planners who look after our clients year after year.  It is the amount of time we spend with our clients and the depth of understanding we have about what they're aiming to achieve that enable us to help them.

As a final thought, I don't view pensions as investments at all.  A pension is a wrapper that has certain tax advantages.  What matters is what investments you put inside that wrapper...and they can range from diabolical to outstanding.  The best investment last year may be the worst one this year.  Where on this scale do yours fit?

If you missed the programme, find out more at http://www.itv.com/news/tonight/episodes/aleisurelyretirement/default.html

If it gives you nightmares then give me a call and you'll be sleeping like a baby in no time!