View more on these topics

Fidelity takes Sipp to the core

Fidelity FundsNetwork has teamed up with Standard Life to establish the FundsNetwork self-invested personal pension.

This is a full Sipp offering investors the option of investing solely in non-core investments at a lower cost than the wider investment options available as non-core investments.

Core investments include FundsNetworks range of over 1,000 investment funds, Standard Life insured funds and a Sipp bank account.
The Sipp bank account is a cash account controlling all investments in and out of the Sipp and pays interest at the rate of 1 per cent below the bank of England base rate.

Non-core investments cover everything else that the Inland Revenue allows to be held within a Sipp. This includes direct equities, fixed interest securities, warrants, convertibles, investment trusts traded through execution-only stockbroker Stocktrade.

Clients who choose non-core investments can appoint one of six discretionary managers – Cazenove, Tilney, Morgan Stanley Quilter, Gerrard, Newton or Brewin Dolphin – to run their portfolios. There is also the option to hold commercial property and anything else that will become eligible for Sipp investment after A-day in April 2006.

For clients selecting core investments only, there is a 100 initial charges and a 250 annual charge. As a special launch offer that will run until further notice, these charges will be waived for the first year provided at least 60,000 is invested in core investments. Those who invest in non-core investments will not qualify for this offer and will pay an initial charge of 190 if they invest in non-core investments in the first 12 months and an annual charge of 400. If they invest in the non-core investments after the first year, the initial charge will be 290. Additional costs will be incurred for other features such as property purchase and withdrawals.

Interest in Sipps looks set to increase after A Day when assets such as residential property will be eligible, so this is a timely launch. However, the market will be very competitive and service may be the deciding factor for many IFAs.

Recommended

Sunny for shares

In my next two articles, I intend to look at the future prospects for equities. My aim is to arrive at a justifiable projection of likely medium and long-term rates of return.

Savills eyes non-conform market

Savills Private Finance is set to enter the non-conform- ing mortgages market in the new year. In a break from its traditional focus on top-end lending, Savills is also considering a move into affordable housing and looking to double the staff in its international mortgages arm. The London firm is looking to expand its broker […]

The impact of Turner

The minister of state for pension reform Stephen Timms has called for suggested alternatives to the Turner Commission’s recommendation for a National Pensions Savings Scheme.

Rapid recovery from a disaster

The financial services industry would recover rapidly from a terrorist attack or a natural disaster, claims an FSA survey to a survey carried out by the FSA, the Bank of England and the Treasury.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com