Deciding on whether a SIPP Pension is a more suitable option than other forms of personal pensions can be tricky. Savers are generally advised to consult with a suitably qualified pensions’ adviser to start with.
Pension advisers will analyse your circumstances and take into account their investment risk profile.
In short, SIPPS are generally more suitable for investors who:
- want flexibility and control of their pension fund
- wish to invest in a wider range of investment options
- wish to consolidate all retirement funds and investments under one pension wrapper
- want more flexibility on drawing out an income from their pension pot
- have specific investment ideas – plans that cannot be met through investing in an insurance company pension fund
- understand the potentially higher level of investment risk
understand the charges that can potentially be higher than investing into an alternative such as a personal pension
A SIPP may also be a suitable choice for people who are self-employed or those who do not have access to a pension scheme through their current employer.