Self Invested Personal Pensions
All Self Invested Personal Pensions (SIPPs) offer individuals and groups greater control of their pension arrangements. It opens up new and exciting investment opportunities in areas that are closed to traditional pension plans, allowing you to diversify your holdings. They do this by allowing a much wider range of investments, as well as directly SIPP owned investments, which include:
- UK and foreign equities;
- Collective investments such as unit trusts and investment trusts or OEICs;
- Hedge Funds and most other Offshore Funds;
- - Cash in any currency;
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- - Gilts;
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- - Bonds;
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- - Commercial property, freehold or leasehold, in full or part;
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- - Contracts for Difference (CFDs);
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- - Futures and options;
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- - Borrowings;
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- - Insurance policies, including Taded Endowments.
There is usually no tax liability on the investments within the SIPP (excepting the tax dividend reclaim), even property is exempt from capital gains tax.
Problems can occur as not all of the SIPP providers allow all of the permitted investments and the provider does not necessarily make you aware of those that they do not allow until asked. Also many SIPP's are taken out and not used for investing in any other investments than those available within Personal Pension Plans. This often means that higher costs are incurred for no reason.
It is vital that the correct advice is sourced at the start so please contact us.