There's no doubt that self invested personal pensions (SIPPs) have enjoyed phenomenal success since A-Day. The increased investment flexibility offered by these products has struck a chord with pension investors and SIPP providers continue to enjoy increasing business volumes. However, one issue continues to dog the industry and that is how can a SIPP be defined?
Traditionally a SIPP was a pension offering full investment flexibility with individually tailored advice from the adviser and this level of service was reflected in the fees. However, this has changed dramatically since A-Day with the new wider definition also encompassing the lower cost, slightly more restricted models primarily offered by life companies right through to execution-only web based services. Under this definition SIPPs no longer remain the province of high net worth, financially sophisticated individuals. There is now a SIPP model to fit everyone but is this necessarily the ...
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