Charges on all discretionary investment management within the Standard Life Sipp will be capped at 1 per cent.
The life office has signed up 11 business partners, including six discretionary investment management groups, an execution-only stockbroker and three property specialists to its Sipp offering.
The six discretionary managers linked to Standard Life's Sipp offering are Brewin Dolphin Securities, Cazenove Fund Management, Gerrard, Morgan Stanley Quilter, Tilney and Newton Investment Management.
Stocktrade will provide online and phone execution-only share dealing services. Standard adds a £10 fee and Stocktrade charges 0.3 per cent of deal size with £25 minimum and a £50 maximum.
Property administration and advisory services are being offered by Donaldsons with Keeble Hawson acting as commercial property solicitors in England and Wales, MacDonalds in Scotland and Mills Selig in Northern Ireland. Pricing on property transactions is dependent on the size and nature of the deal, but an indication of costs will be given up front.
Standard Life marketing product manager for Sipps Alistair Hardie says the main criteria in its business partner selection process are service, back office strength and risk controls, particularly among the discretionary managers.
Hardie stresses with Sipps popularly used for income drawdown and to unlock tax free lump sums, its partner firms needed to demonstrate slick administration and robust back office systems.
Hardie says: “Discretionary investment management charges are normally tiered according to the amount of funds under management but we have negotiated a 1 per cent charge cap with our business partners. We looked at the market as a whole and the key criteria we used to select business partners were service, the ability to process business and risk controls in place.”