Navigating SIPP'

smallzoo2

We have decided to look at a SIPP for our small pension pot ( < £150k ). How on earth do I navigate the 1000's of possibilities of which SIPP to choose.

I already have a SIPP with Hargreaves Landsdowne and they seem to be reasonably well regarded but what is the best way to view the various investment options available

We dont want it all high risk,  more likely a mix

thanks

Dazed_and_C0nfused

Have you actually found a (genuine) SIPP that doesn't offer the investment/funds you're interested in?

The providers cost is maybe more important as most (genuine) SIPPs will offer a very wide range of funds.

Albermarle

smallzoo2 said:

We have decided to look at a SIPP for our small pension pot ( < £150k ). How on earth do I navigate the 1000's of possibilities of which SIPP to choose.

I already have a SIPP with Hargreaves Landsdowne and they seem to be reasonably well regarded but what is the best way to view the various investment options available

We dont want it all high risk,  more likely a mix

thanks

You could ask them for personal advice on picking a portfolio. Probably cost about £750, although they will probably pick expensive HL funds.

Otherwise you could read through this and the 'Savings and Investments' forum and pick up some tips. Many of the investments mentioned will be available with HL.
This website is quite good
Passive investing Archives - Monevator
There some good things on You Tube, one is called Pension Craft.

smallzoo2

So do a SIPP provider like HL help in choosing funds or just let me decide myself ?

Is there a big difference between a SIPP and for example putting all the pensions on one pension provider such as Royal London or is the answer to that how long is a piece of string !

ader42

Read “Money: Master the game” by Tony Robbins

Then you’ll just buy low cost index trackers and be happy.

Stick to HL seeing as you know them.

dunstonh

o do a SIPP provider like HL help in choosing funds or just let me decide myself ?

Investment choices are either your own or your IFA.

Certain platforms did run marketing lists that some did consider to be guides but that led to some poor outcomes.

Is there a big difference between a SIPP and for example putting all the pensions on one pension provider such as Royal London or is the answer to that how long is a piece of string !

Royal London have insured funds with unlimited FSCS protection.  SIPPs offer unregulated or direct investments with no FSCS protection or limited to £85k.  Insured funds have a greater due diligence carried out on them.   The scope to make a mess with RL is very limited.   However, you can suffer 100% loss with a SIPP.   If you know what you are doing, you would probably prefer a SIPP.   If you don't then you are leaving yourself open to making a bigger pigs ear of it.

NlghtOwl

No reason why you can’t manage this yourself, HL is an easy platform to use. If you are adding money frequently use funds otherwise use etf’s to keep costs down. If you invest in vanguard or Ishares world trackers it is impossible for them to go to zero (don’t be scared off).

 You can gain this knowledge by listening to podcasts and YouTube videos, main thing is not to be greedy or too clever, just follow the market for the win.

Of course if you don’t want the bother then use the HL paid service or an IFA. Good luck

smallzoo2

The passive investing link was really interesting but I am already 65, aim to work part-time for the next few years and have a relatively small private pension pot (150k) so not really sure any of the portfolios really fit our needs which is basically ( on top of the usual food bills, insurance etc ) enough for little UK cottage holiday away say 6 weeks total a year and being able to go out for a meal occasionally. We own our house and aim to have £100k out of the house when we downsize. We'd like to lease an inexpensive family car too maybe..

Albermarle

and have a relatively small private pension pot (150k) 

I would not call £150,000 small. It is well above the average pension pot size, although clearly some people have more, a lot have less. It is at a level where if you are really not confident with DIY investing, you should consider some professional advice as a possibility.

our needs which is basically ( on top of the usual food bills, insurance etc ) enough for little UK cottage holiday away say 6 weeks total a year and being able to go out for a meal occasionally. We'd like to lease an inexpensive family car too maybe..

Sorry to be a bit blunt, but you need to go back to the beginning and to actually put some figures on what your estimated planned expenditure is . 

Regular household costs, including food, bills etc = X £ per year

Motoring/transport costs =  X£ per year

Discretionary spending ( holidays, meals out, xmas presents etc ) = X £ per year

Longer term  spending ( new boiler, large household repairs, helping family members etc ) = £X per year on average.

Then look at your known income and when it kicks in

State Pension X 2

Part time employment income

Any other income.

Any cash savings 

Then you will see at least an approx annual amount you want to generate from this £150K pot and when. Only then should you then think about how to best invest it to achieve what you want. 

If it helps there are some studies on retirement income that might be interesting.

Home - PLSA - Retirement Living Standards

We own our house and aim to have £100k out of the house when we downsize.

Downsizing tends to produce less cash than  expected, as when you look for a new property, your aspirations about what you want tend to rise. I would not rely on this £100K as part of the plans, maybe half of it would be a safer assumption.