Pensions  

Suffolk Life assets hit £6bn

Suffolk Life last month passed the milestone of having £6bn of assets under administration on its self invested personal pension.

The average fund size of Suffolk Life Sipp exceeds £300,000, a number which the group said is steadily increasing.

Will Self, managing director at Suffolk Life, said: “Broadening our proposition beyond the traditional bespoke Sipp market has provided a strong foundation to meet the challenges ahead, including the highly anticipated outcome of CP12/33 expected to be published by the FCA next month.

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“The business remains strongly capitalised in preparation, and is on course to improve on our record-setting 2012.”

Greg Kingston, head of marketing and proposition, added: “Recent surveys have revealed the bespoke Sipp market is in a state of – limited growth with many operators reporting their books contain in excess of 40 per cent non-standard assets and some seemingly unaware of where they stand. Those are higher risk businesses, as advisers’ due diligence checks will show.”

Despite holding nearly 3,000 commercial properties, less than 20 per cent of Suffolk Life’s book is invested in non-standard assets. Property represents the largest non-standard asset class (12 per cent of overall assets), followed by fixed term deposits (2 per cent of overall assets).

Yesterday, FTAdviser revealed that the Financial Conduct Authority is launching its third thematic review into Sipps.

Mr Kingston said: “The timing of the recent FCA announcement of a further thematic review of Sipp operators is sensible and should tie in well with the outcome of CP12/33, expected next month”.