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Transferring a HL SIPP income drawdown to a VG Pension drawdown?
Isaac J
Posted: 08 February 2024 08:28:35(UTC)
#11

Joined: 25/05/2022(UTC)
Posts: 299

Hi Ramondo, I think you've misunderstood what I meant before. By holding a Vanguard fund and transferring in specie, you are not exposed to any time-out-of-the-market risk. In this case, your holdings are not sold and rebought. Instead, the units you hold are re-registered and transferred across.

Because this is a complex process, it can take longer than a cash transfer, but you don't have to worry about the fund being sold at a lower price and then being rebought at a higher price. e.g. If you hold 4321 units of a fund and do an in-specie transfer to another provider, those 4321 units will pass over and the price fluctuation doesn't matter. The important thing is that the same fund is held in both platforms.

Here is the interactive investor guide to in-specie transfers:
https://www.ii.co.uk/learn/in-specie-transfer


IMPORTANT: if you've already submitted a transfer request and selected cash transfer, then they might not do an in-specie transfer and you would need to ask the provider(s) to cancel or amend the initial transfer instruction.
Ramondo
Posted: 08 February 2024 09:38:55(UTC)
#12

Joined: 20/10/2018(UTC)
Posts: 701

Isaac J

Thanks for your reply.

Yes I do understand that, sorry failed to make that clear in my last reply.

So yes, I will settle for the longer transfer, but as you made clear my existing HL Sipp all in VG holdings will transfer over intact to my existing VG Sipp.

It's all a little complicated but hopefully it will all be settled in time and my accounts a bit more orderly.
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