London & Colonial has launched a Multi -Platform self-invested personal pension and an Open Annuity today.
These entry level "platform" versions aim to offer wide investment choice with lower fees.
The client is able to choose their investments from several platform providers. These platform partners will be revealed over the coming weeks.
As investment options are contained within the same wrapper the cost of transfer is removed. This means no additional transfer or set up fees for the client and less administration for IFAs.
Open Annuity clients are able to choose the amount and frequency of income taken. The maximum payment allowed will be 120% of the amount of income that could be provided based on an average of three annuity rates available in the market.
The SIPP has an initial fee of £100 and an annual charge of £199, while the SIPP in drawdown has an initial fee of £100 and an annual charge of £345. The Open Annuity has an annual charge of £575 and an initial charge of £175.
Adam Wrench, head of product & business development said: ""Our initial conversations with financial advisers have supported Defaqto findings that IFAs' platform choice will be dictated by how they have segmented their clients.
"We also recognise as clients move along their financial journey they may move from one segment to another and this may give rise to the need to either transfer from one platform to another or transfer to another provider to purchase off-platform investments."
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