A self-invested personal pension (Sipp) is a type of private pension arrangement. Unlike other pension schemes, a Sipp normally gives you the freedom to choose from a number of investments including stocks and shares, investment trusts, commercial properties and national savings products.
A Sipp offers a more flexible approach to investing while still providing the same tax advantages as other private pension plans. You have complete control over your investment strategy, although you can also appoint a fund manager to deal with it for you.
Sipps are usually most suitable for people who are willing to accept a higher level of risk with their investments as well as a higher level of charges. An IFA or financial adviser will be able to review your personal circumstances and assess whether a Sipp is the right pension plan for you. Find a financial adviser here.
Questions you might like to ask an IFA financial adviser…
- Can I move my investments around?
- How much will the pension provider charge me?
- How many types of fund can I invest my money in?
- Which tax advantages could I benefit from, when I invest in a pension?