How useful will the wider investment powers in Sipps actually be?

pensions

Before transferring to or starting a Sipp investors should consider as to whether they really need this kind of pension, or whether they can achieve their aims with another vehicle

With anecdotal evidence suggesting many Sipp investors have not used the facility to invest directly in stocks or property, the wider investment powers will only be suitable for a limited number of clients, even after the major changes coming on A-Day. Nigel Hancock, product manager at Friends Provident says: "A large number of Sipp investors have stayed in the insured funds arena and not made direct investments in assets such as stocks or property. They could achieve that same aim with an insured arrangement using a link to external fund managers." Hancock suggests that for many people, ...