SIPPs – cost comparison

by Richard Allum on 13 March 2008

Never ones to miss a marketing opportunity, SIPPcentre has produced a SIPP Market Cost Comparison for five case studies where the total SIPP administration costs over the first two years are compared. Other SIPPs included within the comparison are from:

  • Standard Life
  • Suffolk Life
  • Scottish Widows
  • James Hay
  • Alliance Trust
  • Hornbuckle Mitchell

Unsurprisingly, SIPPcentre comes out very well in all five cases which are based on using discretionary fund managers, trustee investment plans and purchasing a commercial property. The analysis shows a huge difference of up to 230% between the cheapest and most expensive.

Cynics could easily argue that the case studies have been chosen to suit SIPPcentre’s charges in order to make them look good. You would not expect them to pick scenarios where they will look bad though!

I would like to have seen a comparison based on investment within their own fund supermarket to see how the total charges compare with those listed above. In my experience, this is how most SIPPs are being used and would be of equal value. However, having tried to do this myself I know how difficult it can be.

SIPPcentre remains one of my preferred providers although I have not yet tried them with a property purchase. Who do you like to use for SIPPs and why – please feel free to add a comment.

Download the comparison by clicking here.

{ 2 comments… read them below or add one }

Sean Fernyhough 16 April 2008 at 12:49

SIPPcentre provides good service and the website is a useful tool. It dovetails nicely with the discretionary managers we use. Less competitive on charges when in drawdown.

QROPS 16 December 2012 at 16:29

Great topic to be discuss and I’m proud to share that the Guardian Wealth Management is now on Dubai. They offer independent financial advice and wealth management services. Its our chance to enjoy there good and quality services!

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