UK pension transfers can be a minefield for any financial services professional. Thanks to a new corporate offering, bdhSterling can step in to help add value to your business and client base.
Speaking the right language
As of 2015, UK legislation requires members of certain UK pension schemes to take advice from a UK Financial Conduct Authority approved firm, such as bdhSterling, before they are permitted to transfer their pension. For example without taking advice from an FCA approved UK firm, pension transfers over £30,000, will simply be unable to transfer.
The complexities of compliance, taxation and superannuation in both countries has resulted in many expats delaying their pension transfer. The UK Government has made recent amendments to transfer conditions which has generated some activity in the expat community and prompted many to think about their options. Advisers need to be aware of the issues facing their expat clients and know who to turn to, should they require technical advice.
bdhSterling has identified a potential $30 billion of transferable pensions for expats living in Australia. Whilst Australia represents and estimated 25% of British expats globally, only 5.6% of the $2.4 billion transferred for the year ending April 2016*, was attributed to British expats in Australia.
So why the gap?
This could be partly attributed to the advising community not having the knowledge nor qualifications to address cross border tax and superannuation regulations and the change in rules in April 2015 preventing clients under 55 years from directly transferring their pensions.
The bdhSterling transfer service reduces compliance issues for Australian advisers and adds value to their business, providing the opportunity to increase funds under management and improve client retention. They will help close that gap and provide solutions to advisers who otherwise were locked out of helping their clients achieve their full financial potential in their new life abroad. bdhSterling has strategies for clients under and over 55 years of age.
Importantly, no third party advisers are involved with bdhSterling UK advice. If the referring accountant or adviser does not have the experience or expertise to establish a ROPS (Registered Overseas Pension Plan) registered SMSF, bdhSterling can provide this service and if required provide ongoing ROPS, SMSF compliance and accounting reporting. The adviser retains ownership of the client, stays involved with the process and continues to manage the funds transferred to the SMSF.
Technical support for pension transfers
bdhSterling has a Technical Support Team managed by dual licensed advisers who can talk through the transfer process. An initial free phone conversation will determine the viability of a full review of the transfer options. Alternatively, e-mail your enquiry to the e-mail below.
*Source 06/12/2016 HMRC Release. Transfers To QROPS Transfers Globally, Official Statistics, Produced by HMRC Knowledge, Analysis and Intelligence
Make the right connections
If you have a pension transfer query on behalf of your client, or wish to discuss how your business can work with bdhSterling, please contact us and a member of the team will be in touch. The bdhSterling Technical Services Team can be reached on (08) 6180 2555 or by sending an enquiry to the email below. Find out more at bdhSterling.com
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