Vulture companies & Zombie pension funds have been in the news again recently..what are they?
A vulture company takes over old pensions and makes a very healthy income from doing nothing much with them. The client still pays a management fee and the company provides an understaffed call centre.
A zombie fund is one that is barely alive...nobody has shown an interest in it for some time and nobody seems to care if the clients money is doing anyhting.
What pension companies are often mentioned in this context?
Pearl, Resolution & Windsor Life. Resolution have just bought Friends Provident.
What should I do if I have a zombie fund?
Speak to your local friendly IFA :)
Posted by Sean Wilson, APFS, Independent Financial Advisers (IFA), Swindon, Wiltshire.