What is a SIPP administrator?

w00519773

I have used the interactive brokers paper trading account (and API) for the last few years and I enjoy it - it is working out quite well.  Albeit I take more risks with it being a paper trading account.  However, I discovered recently that interactive brokers do not offer ISAs in the live trading account, but do offer SIPPS: https://www.interactivebrokers.co.uk/en/index.php?f=39434&ns=T&nhf=T.  Accessing the SIPP hyperlink says:
"
Interactive Brokers (U.K.) does not support SIPP accounts directly, rather you need to go through a regulated and authorised SIPP Administrator
"
What is a SIPP Administrator? I assume there will be additional costs using a SIPP administrator?

dunstonh

A company that adminsters SIPPs  
Any company that provides a SIPP is the administrator for that SIPP.  Aviva for the Aviva SIPP. Standard Life for the Standard Life SIPP. HL for the HL SIPP.
Some SIPPs allow external holdings that are not on their own platform.    It's a very niche area and not normally used by mainstream investors.  So, you don't tend to find that sort of functionality available on mainstream providers except with DFMs or property, or if it is, then its usually expensive.    

Basically, you are using the SIPP administrator to handle the tax wrapper and the regulatory side of things but not using the SIPPs trading platform but using a third party.

 I assume there will be additional costs using a SIPP administrator?

Absolutely.

sensiblecare

dunstonh said:

I'm new to this forum, and have been finding dunstonh's comments, here and elsewhere, very enlightening. Is there a way I can contact dunstonh professionally?

Albermarle

sensiblecare said:

dunstonh said:

I'm new to this forum, and have been finding dunstonh's comments, here and elsewhere, very enlightening. Is there a way I can contact dunstonh professionally?

To remain on the forum, he has to be seen to be not touting for business ( which he does not) .