Splitting assets across providers?

[Gilgongo]

My wife and I intend to pool our assets for a retirement income when the time comes in about 3-5 years. The assets are currently split like this:

Me:

30% ISA in ii.co.uk
15% SIPP in ii.co.uk
15% SIPP in AJ Bell

Wife (non tax-payer, and has a large amount of cash which is another story..):

5% ISA in AJ Bell
5% SIPP in AJ Bell

For the sake of simplicity, and assuming we live for about 30 years on that lot, I'm thinking about moving everything into Interactive Investor.

Is that wise? I would hope that if ii.co.uk went "offline" at any point, it would all be managed in an orderly fashion without undue disruption to draw-down and stuff. Interactive Investor seem a bit cheaper than AJB over the long term.

[JohnB]

Id have 2 providers between you, in case access was suspended

[Dod101]

Personally I would never feel comfortable with all my eggs in one basket. In fact I had ISAs with Alliance Trust Savings and II and then when ATS sold their business to II I switched about half to HSBC (not that I am recommending them). I agree that you lose some flexibility and however hard I try I seem to end up holding the same share with both platforms. Sometimes it can happen when surplus dividends appear in one account, or when I want to sell something and the cash arrives in the 'wrong' account.

But to me security of the platform is paramount and if one went down at least I still have the other I would expect.

Dod

[richfool]

If it's of any help, I spotted that IWeb are offering 50% off their normal £100 opening fee for ISA's and share dealing accounts, until the 31st July. So a £50 one-off non-recurring fee, i.e. no annual admin fees. Trades at £5 each. I am tempted to open a second ISA.

viewtopic.php?f=26&t=35019&p=513432#p513432

[monabri]

I would hope that if ii.co.uk went "offline" at any point, it would all be managed in an orderly fashion without undue disruption to draw-down and stuff. Interactive Investor seem a bit cheaper than AJB over the long term.

NO NO NO. (and an extra NO for good luck). There WOULD be disruption. I've been through a broker closure (which I documented on the brokers board **).

I was without access to the funds and dividends for almost a full year. The account was suspended - I could do absolutley zip!. Then another year when they transferred the accounts to a Russian backed broker (ITI Capital).

(And that's without any discussion on FSCS limits for any losses)

(**) Some background .....

viewtopic.php?p=241348#p241348

viewtopic.php?p=329153#p329153

[Gilgongo]

Oh wow, I'm glad I asked!

Very informative.

[xxd09]

It’s a perennial conundrum
An Alliance Trust investor of many years with a SIPP and ISA for wife and myself
Went all in to Interactive Investor
2 years cash expenses with a Tesco high interest account
As we age simplicity important versus safety
Now both of us 76 and it will be an easier job for our kids to handle when ageing decides to do its thing especially as I am the one doing the management of the investment portfolio
Also our investments are 3 index trackers only
Over half our income comes from the investment portfolio-rest in a Teacher and State Pensions
So if there is a hiatus our cash living expenses would keep us going for a while ,would reduce expenditures drastically and then fall back on the kids ( Luckily our kids are well off)
Cheap simple and easy to understand worked well in accumulation phase ie all investments in 2 or 3 index trackers on one platform
In de accumulation age and ability to manage mean simplicity pays off too
You pays your money and makes your choice!
Very personal to each of us because of different circumstances
xxd09