A SIPP is a self-invested personal pension. These pension products typically offer online access, transparent charges, a choice on where you can invest your pension money, and regular statements you might actually understand! You can set one up with a computer, a debit card and 15 minutes to spare.
Here are 5 different options which will suit a variety of savers with differing levels of confidence:
A low-cost ‘ready-made’ pension
I suggest AJ Bell Youinvest, which won Best Online Pension Provider AND Best Online Investing Platform at the Consumer Investment Awards in June. You may recognise it from the telly. This Manchester based firm, well-recognised by financial advisers as a pensions expert, has a good culture and ethos. It’s not the slickest online experience, but the charges are very competitive.
A newer firm with a simple digital approach
Nutmeg is a so-called ‘robo adviser’ (and one of our Best Buys) that aims to do the hard work of finding the right investment for you. You answer the straightforward set-up questions and you will be allocated to the portfolio (or bundle of investments) that the group’s behind-the-scenes elves think is suitable for your needs. This is a safe and easy path for people who want to ‘set and forget’ their pension savings.
Aviva will suit more cautious people who value the comfort of a large, household name. Choose from one of 4 ready-made pension funds. The website needs improvement but is fairly straightforward to navigate.
Control for the more curious investor
If you want to choose your funds as well as some shares or investment trusts, Hargreaves Lansdown is a good service. It’s one of our Best Buys and it won Best Communication in Pensions at the Awards. It’s not the cheapest, but the people on the phones know their stuff and can help you.
The Complicated Stuff
James Hay is worth a look for bigger portfolios and complex investments. Normally used by financial advisers, these guys are SIPP experts. If you are keen on a SIPP, know your ETFs from your OEICs and have a commercial property to add to the mix – dive in!
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