Cheapest Sipp: build yourself a low cost DIY pension article

Aegis

Two points:

1. Reputable companies do not, as a general rule, send out blind text messages to try to solicit business from you. As such, this should send out some serious warning signs right away
2. I'm not quite sure what they're trying to offer - a 10% rebate of future commissions or a 10% rebate of commissions paid to date. If the former, it's a very low rebate rate that could be beaten if any of the contracts are still paying commission, while if it's the latter I'm not sure why they are suggesting that you're eligible for a rebate of previously paid commissions. In either case, I'm really not sure where their figure of £4,500 comes from

I'd be wary about sending them your documentation without understanding exactly what they are offering you and whether they are a reputable company. Their web address isn't much help, for example, as it just appears to be a blank page.

dunstonh

Further to our telephone conversation we confirm your interest in obtaining a commission rebate representing up to 10% of the value of your pension investment.

Which would be classed as an unauthorised payment by HMRC and subject to fines/penalty as well as you having to return the money.


Also on that copy and paste it indicates that they are introducers and not regulated by the FSA. Most scams operate that way as the introducer can say and do things without the regulator being able to do much about it. Introducers tend to start up and shut down and phoenix as a new entity and the FSA is often so far behind that by the time they find out about a scam, those causing it have already moved onto a new name.

This has got fraud/scam written all over it because it is agent HMRC rules and pension legislation.

stphnstevey

Trying to find the cheapest share dealing SIPP that allows me to purchase overseas shares (particularly US)

Currently have a H+L SIPP and invest in just funds

H+L fees seem to be £11.95 per trade, 0.5% AMC (+VAT?)(capped £200). There seems to be about a 1.5% spread as well?

SippDeal seems to be the cheapest for shares - £9.95 per trade, no AMC. Would this include a spread??

With regards to fees for drawdown, I suppose if saving £200/yr in SippDeal over H+L, you lose on the £75+VAT for drawdown?

Is there Stamp Duty on USA shares? Even if the money is converted back to sterling?

With all the fees, wondering if I cld make it more worthwhile investing in shares than funds :eek:

PS - what was the talk earlier in the thread of increases in H+L fees - particularly for SIPPs? Does the 0.5% AMC now apply to funds as well as shares in a SIPP??? (that was the gist I got)

GTG

stphnstevey wrote: »

Trying to find the cheapest share dealing SIPP that allows me to purchase overseas shares (particularly US)

Currently have a H+L SIPP and invest in just funds

H+L fees seem to be £11.95 per trade, 0.5% AMC (+VAT?)(capped £200). There seems to be about a 1.5% spread as well?

SippDeal seems to be the cheapest for shares - £9.95 per trade, no AMC. Would this include a spread??

With regards to fees for drawdown, I suppose if saving £200/yr in SippDeal over H+L, you lose on the £75+VAT for drawdown?

Is there Stamp Duty on USA shares? Even if the money is converted back to sterling?

With all the fees, wondering if I cld make it more worthwhile investing in shares than funds :eek:

PS - what was the talk earlier in the thread of increases in H+L fees - particularly for SIPPs? Does the 0.5% AMC now apply to funds as well as shares in a SIPP??? (that was the gist I got)

Try this, for any question you have go to the home page and use the drop down menus or the search facility. You should get all the answers there.

pjala

I am after the cheapest sipp for shares, and am finding it hard to get the relevant figures. This could well be because I am looking in the wrong place.
Which have provided a list of cheap Sipp lite providers:
http://www.which.co.uk/media/popup/table-popup-lite-sipps-197161.html
and it comes up with three:
AJ Bell Sippdeal eSipp
Fundsnetwork Fidelity Personal Pension
James Hay eSipp
Now each of these have no annual management charges. Of course when you look at these, they confuse you rather than enlighten.
I am transferring from HL, which are ok, but charge on shares held in the SIPP - low, but lower is better.
I have found the JH eSipp now seems to be the iSipp - ??.
Anyone looked into these and compared against mse's so called best HL?
My parameters are minimum £10,000 transfer, lowest admin charges annual, and low cost trading....
Thanks.

snowcat53

It can be tricky working out but may be simpler if you intend to hold only shares, not funds, ETFs, ITs etc. Some have a custody fee for shares, some for funds which don't pay them a commission. If it is purely shares you want to hold, Sippdeal may be cheapest as I believe they have no annual or custody fee for shares, and charge 9.95 per deal (up to 19 deals per month)

But you also need to look at future fees for drawdown, etc.

these articles may be of use
http://monevator.com/bestinvest-vanguard/

http://www.thisismoney.co.uk/money/pensions/article-1712426/How-cheapest-low-cost-Sipp.html

amusedtodeath

I have a GoldMoney Sipp pension through Berkely Burke. They charge £300 annual administration fee. This seems money for nothing as GoldMoney are responsible for storage,records etc and all my metal does, is sit in a vault!
My question is can I take out the SIPP of the control of Berkely Burke but keep it in GoldMoney? I'm not adding to the sum and I don't expect there to be any other overhead costs apart from safe storage.
I still have no idea why Berkely Burke charge anything for managing my account as they basically do nothing!

dunstonh

This seems money for nothing as GoldMoney are responsible for storage,records etc and all my metal does, is sit in a vault!

Although the SIPP provider is required to act as trustees, report to HMRC and FCA as well as pay FCA, FOS and FSCS levies each year and pay for the computer and software (and staff). How do you think they are going to be paid for if you dont pay for them?

y question is can I take out the SIPP of the control of Berkely Burke but keep it in GoldMoney?

No.

ForestThoughts

While the focus for choosing the online SIPP has been on entry and ongoing costs also think about exit. HL have a very attractive offer for you to move your money to them. However when i contacted my existing provider the list oif charges to move was extensive. So purchase in haste and repent at your leisure.

stef296

SippDeal (now called YouInvest) just let me know that they will be charging custody fees on my SIPP from March 2014 according to the following:
Less than 10k: 5 pounds per quarter
10k to 20k: 15 pounds per quarter
20k plus: 25 pounds per quarter

I have only got a small amount of money in my SIPP (less than 10k of a corporate pension from a previous job) and am investing it in ETFs only.

I did a quick browse around and all the alternatives (bestinvest, Alliance Trust etc) still seem more expensive in terms of fees.

Any suggestions if there are cheaper alternatives?

Thanks.