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SIPP providers
tony m
Posted: 13 December 2012 10:23:30(UTC)
#1

Joined: 20/12/2011(UTC)
Posts: 10

I want to start a SIPP and would like to use a low cost self administered platform
My priorities are
Security- I would like to use a reasonably substantial company
Investment choice & fees- I dont want to do anything unusual, but I do want the full range of funds, shares, ETFs
Drawdown- I will want to move to drawdown & would prefer not to have to move platforms, so I'd like a platform that can provide cost effective drawdown
Could you please advise on SIPP providers who meet these criteria
Thanks
Dexter
Posted: 13 December 2012 12:44:14(UTC)
#2

Joined: 15/07/2009(UTC)
Posts: 12

Was thanked: 1 time(s) in 1 post(s)
I would vote Sippdeal, but there are (currently) fee's for drawdown which are not present with H-L. However, H-L aren't good enough in the accumlation phase because of their fees.
P L
Posted: 13 December 2012 13:52:00(UTC)
#3

Joined: 10/08/2008(UTC)
Posts: 284

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BestInvest Select are suppose to be reasonable.
Pros: They are cheaper than H-L when holding index funds as they make no charge (except for Vanguard trackers)
Cons: The AMC rebate doesn't kick in until you hold 50K in funds
gld
Posted: 13 December 2012 13:56:21(UTC)
#4

Joined: 05/01/2012(UTC)
Posts: 2

I use Alliance trust - long standing, substantive- and refund the ongoing commission that fund managers pay to them which most SIP providers keep. So I think relatively low cost.
gld
Posted: 13 December 2012 13:58:16(UTC)
#5

Joined: 05/01/2012(UTC)
Posts: 2

I use Alliance trust - long standing, substantive- and refund the ongoing commission that fund managers pay to them which most SIP providers keep. So I think relatively low cost.
ACM
Posted: 16 December 2012 11:15:09(UTC)
#6

Joined: 20/12/2011(UTC)
Posts: 2

Thanks: 1 times
ATS makes a fixed annual charge of £162 but rebates commission. At present HL has no fixed charge but makes only a small rebate of commission (variable 0 to 0.5%).
Therefore, if you have a small SIPP of say up to £25k and invest only in funds, HL could be cheaper for you. Above that ATS wins.You can calculate yourself exactly where. Note that ther are usually purchase charges for funds with ATS but not HL.
If you plan to invest in shares, including investment trusts, there is no commission to be charged or rebated BUT you must consider buying/selling costs plus 0.5% stamp duty on purchase.
NB. ATS charges a reduced annual fee of £96 if your only holding, apart from cash is Alliance Investment Trust.
There are other variable conditions which depend on your investment which you can find on the relevant website.
That is my understanding of the present state but it would be worth waiting until 2013 to learn of any changes to HL's terms.
Re Drawdown,HL seems cheaper at the moment.
Both ATS and HL are excellent to deal with.
john_r
Posted: 16 December 2012 20:38:36(UTC)
#7

Joined: 18/06/2010(UTC)
Posts: 41

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Sippdeal seems to be one of the oldest on-line Sipp providers and seems to have developed a knack of keeping things simple. Comparative costs though really depend on what you hold in your Sipp.
If like me, you want to hold Company shares, Investment Trusts, ETFs, bonds or warrants then Sippdeal has to be the lowest cost as it does make any annual charges at all. H-L charges 0.5%pa up to £200pa for these type of investments and Alliance Trust has a flat £162 management charge. So Sippdeal is already well ahead for me without counting other benefits such as trading charges.
Their trading platform is good (in fact all three are good) and customer service efficient and friendly. To reinforce my view I would mention that I recently moved my Isa's over to Sippdeal, free of cost to me, to run alongside my Sipp and enjoy the same benefits. Now they are offering free trades on small holdings over the xmas period. That's what I call a customer friendly outfit.

If you wan't to hold Oeic type funds in your Sipp as well as equities (which I personally don't), then the cost comparison becomes more complicated although I strongly suspect the outcome will be the same.
Sippdeal has already taken my vote and I have no regrets.


ACM
Posted: 16 December 2012 21:40:47(UTC)
#8

Joined: 20/12/2011(UTC)
Posts: 2

Thanks: 1 times
Yes, as john-r says, Sippdeal also looks good until you consider simple (not flexible) drawdown charges. Then it looks expensive!
However, your retirement may be far in the future and by then much could change.
Ozwebuk
Posted: 25 January 2013 21:25:56(UTC)
#9

Joined: 12/05/2012(UTC)
Posts: 2

Thanks: 1 times
I was reading this thread as I am about to dip my toe and am looking for inspiration and informative information about the comparisons between the top providers.

I was inititally interested in ATS but when I review the funds available using their investment selector the availability seems much smaller than SIPPDEAL or HL?

I also notice that their investment selector lists quiet a view funds that are for institutions, requireing very large initial investments whioch can't possibly be aimed at those looking for personal pension investments.

It has turned me right off their offering.

Seems to me you either go with SIPPDEAL and aim for low transactions and DIY analysis or choose HL, pay a bit more and get a raft of analysis information about your portfolio.

The latter seems quite attractive as it feels like it should nable you to save a lot of time analysing your portfolio spread and exposure.

They also have a lot of published material on funds, although I get the feeling they are big into "SELLING" and "MARKETING"... Which makes me a little wary.

It seems to me that comparing the costs of the providers is like trying to walk through treacle! I found this site, recently launched Compare Funds but it's rather limited in scope. If it were able to compare all the large providers it might have some use. I also suspect some bias toward iii.co.uk.
banjofred
Posted: 26 January 2013 13:23:48(UTC)
#10

Joined: 14/03/2011(UTC)
Posts: 196

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All in all

I stick with HL

Make sure you note all ongoing charges
And costs of running drawdown
1 user thanked banjofred for this post.
Ozwebuk on 29/01/2013(UTC)
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