Standard Life has launched an execution-only, online personal pension.
The Active Money Personal Pension is available through a short online application and customers have the option of a minimum initial £800 lump sum or regular contributions starting from £80 a month. Standard says the product has been designed to appeal to customers who do not yet have any pension savings.
The pension has been designed to be fully flexible and will allow savers to vary the amount of contributions or start and stop contributions as they choose.
Annual management charges for the pension will range from 0.5 per cent to 2 per cent, depending on the size of the pension fund. Discounts will be available for funds worth more than £50,000.
Pension savers will be offered a choice of investments in the MyFolio range of risk-based portfolios including tracker based funds, actively managed funds from Stanadard Life Investments or multi-manager funds.
Standard Life Direct director Mark Till says: “We have developed the Active Money Personal Pension to directly address the preconception that people think pensions are inflexible and inaccessible.
“Customers are daunted not only by the amount of money they need to invest but also where to invest. We have paid very careful attention in the development of our online application process to make it as easy as possible for customers to start investing for their futures.
“In user testing, simple steps like demonstrating the value of tax-relief, ensuring customers select the right investment funds to meet their attitude to risk, and showing a pension can be flexible were very well received.”