Best ETFs to have in a pension

A new tax year is starting from 6th April, so with the annual £60,000 pension contribution allowance about to reset, now is perhaps the best time to review what your SIPP is invested in and decide if you’d like to make any changes. It’s spring cleaning season, after all!

One often overlooked addition to a SIPP portfolio is the Exchange Traded Fund or ETF. These can be a good option for long-term retirement savings – they tend to be lower cost and give you access to dozens, if not hundreds, of shares all in a single product. However, most ETFs replicate stock market indices, and that can create unintended consequences. In the US, for example, it could mean you end up over-concentrated in a handful of high-octane technology stocks that dominate the US market.

With this in mind, we asked expert Dzmitry Lipski, Head of Funds Research at interactive investor, to tell us which ETF he thinks are really the best for a SIPP portfolio and why. Scroll down to see his top three picks.