Self Invested Pension Plans (SIPPs) give a much greater range of investment options than those available through most traditional pension plans. Investment is allowed in a number of assets and asset classes including equities, unit trusts, gilts and commercial property.
Saving in a tax efficient manner towards your pension is always desirable and SIPPs make this possible, along with the added benefit of flexibility.
This flexibility allows you to spread the risk, especially if some investments perform badly. However, these do tend to have higher costs than a standard pension and active management is essential to maximise the benefits of the wider investment choice on offer. For these reasons, they will not be suitable for everybody and generally only those who are fairly experienced at actively managing their investment should consider this type of investment.
The investment growth within the fund is currently free from all UK Income Tax and Capital Gains Taxes.
The levels and bases of taxation and reliefs from taxation can change at any time and are dependent on individual circumstances.
The value of a SIPP can fall as well as rise. You may get back less than the amount invested.
Please contact me if you would like to know more about the St. James's Place range of pensions.