Equiniti has launched a Sipp with a transparent pricing structure on its Selftrade platform and a mobile trading application to help investors track their portfolio on the go.
The Selftrade Sipp, launched in conjunction with provider Gaudi Regulated Services Limited, has an annual fee of £99 plus VAT. The first two transfers are free, and subsequent transfers in cost £100. There is a £75 plus VAT transfer out fee if the customer leaves and moves to another Sipp Trustee. Each fee is charged independently depending on what the customer is transferring.
Selftrade has also launched an iOS mobile trading application, allowing Selftrade customers with iphones or ipads to keep track of their investments wherever they are. The app allows investors to monitor and manage their investments in real time so that they can react immediately to market news, expert views or trading opportunities.
Equinit says it was prompted to develop the Sipp and accompanying app by customer feedback supporting greater simplicity, operational efficiency and reliability in the investing experience.
Mark Taylor, managing director of the Equiniti’s Investment Services division, said that the product simplifies the charging structure of retirement funds so that clients are not faced with charges they do not understand, especially once they have greater freedom with their pension savings.
Comment:
The loss of appeal for cash Isas following the most recent Budget and the upcoming pension reforms have made consumers look more towards Sipps in the lead up to retirement.
Equiniti’s new Selftrade Sipp is an option that is easily accessible to less sophisticated clients as its simple charging structure makes it easier to understand. The new offering will help advisers plan for their clients’ retirement and take advantage of the government’s new flexible pension rules.
The company markets the Sipp as a low cost option at £99 annual fee. Compared to providers surveyed in Money Management’s most recent Sipp survey in the April issue, where the highest annual charge reported was around £900, this is an accurate description. Though, in the survey, providers whose annual charges were low tended to have higher charges elsewhere, such as transaction costs. The Selftrade Sipp is upfront with costs, so investors shouldn’t encounter any unpleasant surprises later on.
The mobile trading app makes keeping track of finances even more convenient for the investor. As long as there is Internet access, clients can monitor their portfolio. Though, the app is currently only available on iOS, so is limited to Apple devices.
