Chair's Statement

Chair's Statement


Mr David McGowan is now Chair of Trustees of the Corporate Trustee, Woodward Markwell Insurance Brokers Ltd, Mr Andrew Johnson having retired from full time employment.

Full version of the signed statement summary can be viewed here -  click here



Introduction

New Governance Rules apply to “defined contribution”  pension arrangements from the 6th April 2015 and as Chair of the Trustees,  I have to provide you with a yearly statement,  to meet the new standards laid down in The Pension Regulators Code of Practice 13.

Where possible, we believe that we have adopted the standards of practice set out in the Defined Contribution code and regulatory guidance.

Core Financial Transactions

Contribution requests are delegated to Prudential Scheme Administrators. Contributions are paid monthly by direct debit to Prudential.   Prudential issue annual statements each year to the Trustees for onward transmission to the members.

Default Investment Strategy

The Scheme was opened in 1991 & originally the default fund was Prudential’s Traditional With Profits Fund. Obviously as the scheme has been closed to new members since 2006, this is now irrelevant.  

The scheme, whilst very old and therefore not flexible, is not a Qualifying Workplace pension scheme to comply with Workplace Pension Reforms which is why the company have enrolled all of its staff with Aegon for its future commitments to staff and their pension provision, except for 1 staff member who wished to remain in the Prudential Scheme.

Therefore, as Workplace Pension Reforms affected Woodward Markwell a more modern personal pension scheme was commenced in 2011 in readiness for Auto Enrolment in 2017.

Charges

Detailed below are the costs and charges information applicable to the Prudential scheme.

Product Costs and Charges

Nil

Fund Costs and Charges

Default With Profits Fund - as the default fund of the scheme is Traditional With Profits,   the scheme charges are not taken through the deduction of an explicit Annual Management Charge, but are instead already taken into account when Prudential calculate the bonus rates for the fund and are therefore not specific.  See here for Other funds available - Unit Linked Funds.

A Short Fund Guide to the Prudential Series A Funds is attached in Appendix A.

Illustrations

Illustrations showing an example of how costs and charges can affect returns on investment funds have been calculated as specified by the Department of Work & Pensions. These can be found in Appendix B. A summary of the relevant assumptions that have been used are included in the illustrations.

The premiums are paid monthly for the existing one live member via Employer direct debit directly to Prudential to place into the individual plan within the scheme together with the Employee contributions deducted from Payroll.    

Trustee Knowledge

The Corporate Entity is the Trustee and the current Board of Directors of Woodward Markwell, being Independent Financial Advisers, have full access to advice at all times from our Corporate Team

Advice

As we are Independent Financial Advisers as well as Insurance Brokers, we have our own in-house advice team. Currently a wind up of the scheme is being planned and members will be written to within the next few months accordingly.

David McGowan ACII

Managing Director & Chair of Trustees