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Once you have determined that transferring a UK pension to a QROPS will benefit you, then you have the difficult task of choosing the right structure to maximize your funds. The size of the funds will usually be one of the most important factors that will determine which QROPS is best for you. While there are many different names that QROPS providers use to list their own schemes, there are generally three types of QROPS available.

Managed QROPS usually have a single fund manager. In most cases, these are handled in house and there could be several hundred different types of funds. Professionally managed funds give you a much larger range of funds – up to several thousand. These funds are approved by the provider. An Open Architecture QROPS allows you the choice among many different fund management groups. You can also hold other assets within the structure, including real estate.

There are three basic types of structures to go along with the three different types of QROPS. Structure 1 is for the small to medium amounts to be transferred. It’s hard to find a provider, though, that will give you a good price for transfers as small as £25,000. Structure 2 is for medium sized amounts, but most will require that you have a minimum of at least £100,000 to use this structure. Structure 3 gives you the most flexibility, but it also usually requires a minimum of £250,000.

The Open Architecture structure will always give you the potential for the largest returns. This is why your chose of an advisor is so important. The only limitations placed on these independent advisors will be the negotiations for charges. In most cases, though, transfers of £100,000 are usually done by Professionally Managed QROPS. Diversity is the key to higher returns and more security.

There have been a lot more providers coming into the market over the last year. You will have to do some research to see which advisors are willing to negotiate lower fees. There are some good deals available, but be careful. The lowest priced QROPS can really be the last thing you need. You should shop around to find the best deals. If the advisor can show you how a certain structure will improve your financial position, then go with it. It they can’t, then don’t. It really is just as simple as that! However, you’ll need to remember that not all of the QROPS are created equal.

In closing, there are some QROPS advisors that are only out to make the most money they can for themselves. You want to find one that really has your best interests at heart. As more and more expats are looking for ways to move their pensions out of the UK, there are companies actively searching for your business. Some will be able to provide you with a solution that maximizes your financial potential. However, others will do nothing more than try to get you to sign up for a QROPS that isn’t good for you. Research is key to success.