Royal & SunAlliance is revamping its pension range offering lower charges and commission rates on mo...
Royal & SunAlliance is revamping its pension range offering lower charges and commission rates on most of its products.
The life office is cutting the monthly policy fee and enhancing the allocation rate on five of its six pension plans.
The changes apply to the group's personal pension, group personal pension, free standing AVC, contracted in money purchase scheme and group AVC.
On each of these separate products the monthly policy fee falls to £2.64 from £3.95 while the allocation rate goes up to 100% from 95%.
IFA commission rates on these products are being cut from 140% of Lautro to 90% of Lautro with no renewal or 50% of Lautro with renewal commission.
The annual management fee on the products is 0.5% and there is a 5% bid/offer spread.
Mark Birks, asset accumulation leader at Royal & SunAlliance, said the changes were aimed at gradually moving the range towards the stakeholder conditions.
These will include a 100% allocation rate.
Royal & SunAlliance is not altering the charging structure on its EPP, maintaining the £3.95 monthly policy fee, 95% allocation rate and commission rate of 140% of Lautro.
The EPP also has a 5% bid/offer spread and 0.5% annual management charge.
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