With the help of Slater Financial I can relax safe in the knowledge that my savings are working hard for me.

Julie Carter

What is a SIPP?

February 6, 2016

In recent years both private and government backed pension schemes have fallen into the spotlight with many individuals looking ahead to retirement taking full control of their finances. There is an ever expanding range of personal pension products available, which can make finding the flexibility and return you want and need difficult.

The self-invested personal pension (SIPP) may not be for everyone but understanding your options is important.

About self-invested personal pensions

Categorised as a ‘pension wrapper’, the SIPP, like many standard personal pensions available to Derbyshire based individuals, allows you to invest in a fund and draw an income upon retirement. SIPPs however offer a greater level of flexibility than other provisions.

SIPPs increase in value by investing funds into a selection of assets, including stock exchanges in the UK or abroad, unit trusts, insurance company funds, deposit accounts and commercial property.

Standard versus self-invested

Whilst the charges for SIPPs may be higher than other pensions, unlike personal pensions, you have more investment choices and can decide when to invest, by how much and whether to switch products. Alternatively SIPP holders can enlist an investment manager or IFA to ensure these decisions are made on their behalf and in their best interests.

As we’ve mentioned a SIPP may not be the right retirement fund option for every individual. Those with large amounts of money to invest and/or individuals who have experience as an investor may find a SIPP more suitable for them.

Selecting a SIPP provider

Finding a SIPP provider that offers the best options for your individual circumstances is vital to the success of your investment. Slater Financial delivers professional advice regarding personal pensions and SIPPs so you can discover real added value. Call 01298 212444 to book your free 90 minute consultation.

*This article does not constitute financial advice. Slater financial strongly advises you to seek professional advice before making any financial decisions.*