View more on these topics

Sophisticated Sipp from PimCo

PimCo Trustees has introduced a self-invested personal pension plan (Sipp) that is aimed at the sophisticated end of the market.

The essential Sipp is a full Sipp that has a set-up fee of £425 and an annual fee of £375. Investors can choose any type of investment that the Inland Revenue allows to be held in a Sipp. Examples include stocks and shares, unit trusts, investment trusts, open-ended investment companies, futures and options and commercial property.

The essential Sipp does not restrict investment choice by specifying any fund links of fund management groups the way some full Sipps, such as the Jupiter Sipp, do. The Jupiter Sipp enables investors to choose their investments only when they have invested at least £10,000 in Jupiter funds. But it does have a lower set-up charge of £150 and a lower annual charge of £250 compared to the Pimco Sipp.

An interesting feature of the essential Sipp is that a mortgage can be taken out under the Sipp for investment into commercial property &#45 a facility which is not available under the Jupiter Sipp. There are two other full Sipps that offer this facility &#45 the Jardine Lloyd Thompson&#39s Sipp and the Smith & Williamson Investment management Sipp fund.

The maximum loan is higher at 75 per cent of valuation with the PimCo Sipp compared to a maximum of 70 per cent of valuation with the Smith & Williamson Sipp.

Rental income through the subsequent letting of the property would ideally cover the mortgage repayments. The value of the pension fund would be boosted if the property was to rise in value.

However, investing in property is not without risks and the mortgage would still need to be paid from the pension fund during periods when the property is empty.


FSA publishes standards code for financial markets

The FSA is publishing a code of standards it expects to see in UK markets in the run up to implementation of its powers in autumn.The code will be relevant for everyone who uses UK financial markets, not just those regulated by the FSA. FSA director, markets and exchanges Gay Wisbey says: “The code is […]

Royal & SunAlliance – UK Prime Fund

Friday, 27 April 2001.Type: Open ended investment company.Aim: Income and growth by investing in around 30 UK stocks.Minimum investment: Lump sum £1,000, monthly £50.Investment split: Information technology 12.5 per cent, basic industries 12.7 per cent, financials 16.5 per cent, cyclical services 18.1 per cent, general industries 5.5 per cent, non-cyclical services 6.5 per cent, utilities […]

&#39Consultation&#39 was a waste of time

Graham Turner rebuked IFAs on April 12 for poor consultation responses except through Aifa. Surely Aifa exists to present 5,000 views to the FSA?The FSA does not consult with the 50 per cent of IFAs who are network members and presumably counts network responses as individual company responses.Consultation paper 80 was a rubber-stamping exercise and […]

Mix the old and new

A highly contentious statement at the beginning of a press release is a well known way to attract attention. But you can easily be accused of talking up your own interests.I fear that Forrester Research may have fallen into exactly that trap with the press release for its recent report Unwrapping UK Pensions.I am not […]

Happy while you work

Well we’ve had scorching weather (yes even up here in Scotland!) and now the Euros 2016 are on – you can’t blame people for wishing life was just one big holiday.  With all these distractions it sometimes feels like work just gets in the way of having a good time! But sunny day skivers are […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    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