Pershing has launched a self-invested personal pension aimed at its wealth management and adviser clients.
Pershing, a subsidiary of BNY Mellon, is a provider of services to brokers, asset managers, intermediary firms, IFAs, and financial institutions across Europe.
Its products include retail clearing, fully disclosed institutional global clearing, broker services, and trading services.
Pershing’s Sipp solution for wealth managers and advisers includes integration with NexusComplete, Pershing’s online platform for account management, order execution and portfolio management.
The provider said its Sipp solution had been designed to offer transparency and streamline administration for Pershing’s clients.
It includes access to a whole-of-market investment range featuring a wide range of funds and securities, a low-cost fee structure, online services including a projection tool, literature library, valuations and transactions summaries.
Sipp solution also offers a consolidated wealth view incorporating investors’ retirement funds with their other investments.
Kevin Bonar, chief executive of Pershing Limited, said: “The introduction of the Pershing Sipp is a reflection of our commitment to delivering choice, safety and value to our UK clients.
“Our Sipp solution is transparent, efficient and cost-effective, reducing the administrative burden for clients so that they can focus on managing and advising on investor assets. Our parent company, BNY Mellon, is the largest provider of custody and safe-keeping services in the world and introducing the new solution builds on this base.”
Pershing was established in London in 1987 and Pershing Limited and its subsidiary, Pershing Securities Limited, are members of the London Stock Exchange and Euroclear UK & Ireland.
Pershing Securities Limited is a member of Deutsche Börse, Eurex Clearing, and Clearstream.
Pershing Limited is an affiliate of Pershing LLC, global provider of financial business solutions to more than 1,500 institutional and retail financial organisations and independent investment advisers who collectively represent more than 5m active investors. Pershing is a subsidiary of The Bank of New York Mellon Corporation.
Provider view:
Kevin Bonar, chief executive of Pershing, said: “Our clients are seeing strong demand for Sipps thanks to the wide investment choice, tax advantages and the range of retirement options available. The latest addition to our range of solutions will help our clients meet this demand with a simple and easy-to-manage solution.”
The new Sipps will be offered alongside the existing range of third-party Sipps Pershing already offers through its wrapper network, thus extending the range of options available to its clients.
Adviser view:
Colin Low, managing director of Kingsfleet Wealth, based in Essex, said: “We have heard of Pershing because they offer custodial services to discretionary managers. We prefer to use a platform because we have access to a greater range of services beyond those of a self-invested personal pension.
“I would imagine Pershing’s Sipp is aimed at discretionary fund managers who may want to offer a Sipp but don’t already and don’t want to have to outsource that to an IFA. It’s a good move for Pershing and the discretionary fund managers who will use it.”
Charges:
- Establishment fee: £125 + VAT.
- Quarterly administration charge £40 + VAT, paid quarterly in arrears.
- Single cash contribution – nil.
- Transfer in from another registered pension scheme (cash or in specie) £50 + VAT, applies to the first five transfers only, no charge for sixth and subsequent transfers.
Verdict:
The launch of its Sipp would seem to be a shrewd move for Pershing. With pension freedoms just a few months away, advisers will be seeing a steady rise in the number of pension clients wanting to exercise more control over their retirement funds. Pershing as a brand is well-known among the advisers who use its solutions. It would seem that the Sipp is aimed at discretionary fund managers who are looking to put together a more esoteric Sipp offering to their clients who do not want to employ a third party, or another adviser, to adminstrate their Sipp.
