Junior SIPP who and how to pick

cloud_dog

dunstonh said:

Interested in the observation that a Junior Sipp is only a marketing angle. So all SIPP's are available, it's just that some companies market as Junior (and maybe tag on a benefit, like Fidelity's platform fee waiver) this is born out by the fact that when you follow links to Fidelities Junior SIPP it circles you back to the regular product.

And the marketing works.  The fact you were drawn to Fidelity shows it along with the other times we have seen people mention Junior SIPP and Fidelity pops up.   A bit like a certain other platform that used to say it was a low cost SIPP but was actually one of the more expensive ones.  Yet people believed it was low cost.

To be fair that is a little disingenuous, the references to Fidelity child SIPP is purely due to the very low (no) costs for running one, should that be your chosen option, and not about marketing. 

dunstonh

cloud_dog said:

dunstonh said:

Interested in the observation that a Junior Sipp is only a marketing angle. So all SIPP's are available, it's just that some companies market as Junior (and maybe tag on a benefit, like Fidelity's platform fee waiver) this is born out by the fact that when you follow links to Fidelities Junior SIPP it circles you back to the regular product.

And the marketing works.  The fact you were drawn to Fidelity shows it along with the other times we have seen people mention Junior SIPP and Fidelity pops up.   A bit like a certain other platform that used to say it was a low cost SIPP but was actually one of the more expensive ones.  Yet people believed it was low cost.

To be fair that is a little disingenuous, the references to Fidelity child SIPP is purely due to the very low (no) costs for running one, should that be your chosen option, and not about marketing. 

But it is marketing seeing as there is no such thing as a Junior SIPP.     They have seen a market and used internal branding to attract business.    The bit I added about low cost SIPP wasn't a slight on the Fidelity offering. Just that marketing can achieve the intended goals for the company.

SomeMadeUpName

Albermarle said:

Couple of mentions for Fidelity, I had seen that one and very interested, tried to call them yesterday but it was 4.31pm when I tried! Will call them once open today.

I would not bother calling them , they tend to be quite busy at this time of year.

Just open them on line .

I did make the call (three calls in the end actually) and despite the recorded warning about a wait once you press the new customer option the calls were answered quickly. Despite what operator #1 said you can't actually open the Junior SIPP online, it's postal only, operators #2 & #3 said there was ample time though, so off its gone (with a cheque !! had to dig in the drawers to find that item and blow the dust off it).

SomeMadeUpName

cloud_dog said:

I don't think you have to hope, to be honest, you just open an account with them.

Done (once more: I hope). We'll see if it works on time.

SomeMadeUpName

dunstonh said:

And the marketing works.  The fact you were drawn to Fidelity shows it along with the other times we have seen people mention Junior SIPP and Fidelity pops up.   A bit like a certain other platform that used to say it was a low cost SIPP but was actually one of the more expensive ones.  Yet people believed it was low cost.

Yep, marketing for sure, though at least in Fidelty's case there is a genuine concession over the standard product with the waiving of the platform fee. All about hooking in the customers at the start of their journey. Think the comparison I used with the Fidelity telephone operator was "nickle bag at the school gates".

SomeMadeUpName

dunstonh said:

But it is marketing seeing as there is no such thing as a Junior SIPP.     

TBF there is a significant difference in the opening process for the Fidelity Junior SIPP, in terms of ID'ing a guardian, splitting authority dependant on age (above or below 16), only accepting payments in from guardian (not applicant) or third parties authorised by the guardian, etc. So whilst I take your point that a Junior SIPP is merely a SIPP (possibly with a revised charging structure) the differing application parameters and charges do merit imo a separate branding.

dunstonh

SomeMadeUpName said:

dunstonh said:

But it is marketing seeing as there is no such thing as a Junior SIPP.     

TBF there is a significant difference in the opening process for the Fidelity Junior SIPP, in terms of ID'ing a guardian, splitting authority dependant on age (above or below 16), only accepting payments in from guardian (not applicant) or third parties authorised by the guardian, etc. So whilst I take your point that a Junior SIPP is merely a SIPP (possibly with a revised charging structure) the differing application parameters and charges do merit imo a separate branding.

The majority of other providers that use paper forms use the same application and just have an extra paragraph for parent/guardian/third party payer. It is very easy to generate PDFs that look different.    There is one provider that has a different application pdf for almost every different payment source.  It can be damned confusing.  Whilst most just have tick boxes/sections within one application to cover all options.    I suspect that once it is set up, you won't see different branding any more.   It is all semantics though if you are aware that its only marketing and not a real tax wrapper.   Knowing is what is important as that allows informed choice.